Taxes for thought: Congress recently passed a temporary payroll tax cut and simultaneously imposed new mortgage guarantee fees on new loans closing in April 2012 and forward as an offset to the tax cut. Somehow Congress only speaks to the media about the payroll tax cut, so small business brokers like us have to be the ones to pass along the news. Fannie Mae and Freddie Mac are the lucky ones who get to pass along the fee to the mortgage wholesalers and banks that sell them loans. In turn, these large mortgage wholesalers and bankers will pass that cost directly to you, the consumer. It will be built in to pricing soon and we are seeing that happen already as new locks will be delivered in April or later. Congress has given you a break with one hand, and made you pay for that with the other.

In the wake of the recent law suit filed by Massachusetts Attorney General Martha Coakley, so far 1 of the 5 lenders/banks has pulled the plug on Massachusetts. This leaves fewer options for homeowners who are seeking to purchase property or refinance existing loans. The suit alleges that the 5 lenders may have bypassed paying recording fees at MA Registries and she now wants lenders to prove they own loans before foreclosure. Not sure if the consumer in MA has been helped by this as it will slow the process down when we will all be better off the quicker we get through it. The other lenders/banks indicate they will continue to do business at this time in Massachusetts.

This suit apparently does nothing to recognize that the homeowner has probably stopped paying the lender for a period of time, taking that money out of the economy, and a violation of their agreement to pay the lender, and that is why the lender is trying to foreclose.

It is that time of year here in New England where the sun is brighter, the air is crisp and clear. There is a chill that warns of even colder days to come. This is the time when skiers begin to wish for snow in the mountains of Maine, New Hampshire and Vermont. Downhill, cross country or even a snowshoe - warm yourself by a fire at the end of the day with a cup of hot mulled cider. You can almost taste it. A cozy inn up in the mountains of New England, this is Norman Rockwell time.

Back here on earth we have been treated to a warm fall season and there are signs that the economy may exist once again. The unemployment rate is still high but jobs are coming back ever so slowly which is at least a start in the right direction. Mortgage rates have been holding steady for some time now at low levels and those that can take advantage will hopefully spend some of that monthly savings to advance the economy even more.

In the days leading up to the passage of the debt limit bill, better known as the debt crisis bill, there were many opinions on how it would affect the economy. This included worries about interest rates, and, ultimately, mortgage rates.

Fueled by uncertainty and emotion, opinions varied widely as to what might happen to mortgage rates. Fortunately, the effects of the debt crisis on mortgage rates were revealed quickly and almost immediately after the vote to increase the debt limit.

Initially, after the bill was signed, the following broad-based fall in U.S. stock market values was attributed mainly to problems in the Eurozone countries. Later, as world equity markets gyrated wildly, the presumed causes of the market’s volatility shifted to concerns about the U.S.

As a homebuyer, you will be at the top of some local trickledown economics. Your real estate agent, your local mortgage broker (that’s us!), your insurance agent, the appraiser, and the closing agent will all benefit from you purchase. Not to mention a mover, landscaper, kitchen cabinet maker, and of course the purveyor of flat screen televisions. Many good folks will benefit from your purchase – and thank you. You get the idea, you are awesome!

The housing market is showing nice signs of life now as well. It could be that we have all been hibernating for some time now. Mortgage rates are low and with housing prices lower than they have been in a long time this may be a great combination for you to take advantage of. The fall weather is here in New England, and if you are in position to purchase a home, we wish you good luck in your search. Maybe you will need a leaf blower too.