From The Old Mortgage Guy’s Almanac – Foolish April Weather:

April’s weather can fool many of us into thinking that winter is hanging on. We probably think the same way about current interest rates staying low forever, so don’t be fooled!

The feds are officially ending the support for the mortgage market on March 31st and have already slowed down the purchase of mortgage backed securities. The massive buying of mortgage backed securities by the feds overall lowered the rates by about 1%, but we already can see that the fed is already slowing their buying and, rates are starting to tick up. We will probably see rates go back to around 6% by the beginning of April.

photo credit: Muffet

So who is going to buy mortgage backed securities after the Federal Reserve completes their intervention? The answer is private investors. However the big question remains how attractive will mortgage backed securities be to the private investors once the government-induced demand disappears? If the Dollar remains fairly strong and the unemployment rate keeps declining we might see an environment where rates might make a move . In other words if the whole economy keeps improving (a strong dollar, adding jobs) private investors might be willing to accept higher risks and money might start flowing to the capital markets to the detriment of the bond market. In sum, positive signs on the stock market are negative for Mortgage bonds.

April 5th the new, higher one time MIP on FHA loans goes into effect and the upfront mortgage insurance premium goes up to 2.25%. The First Time Home Buyer Tax Credit is also set to expire in April (you must be under contract by April 30th 2010). So we have a bunch of uncertainties ahead of us which could influence the Housing Market and Mortgage Climate.

I wished I had a the “Old Mortgage Guy’s Almanac” to predict the mortage and real-estate-market, but I dont. So I just can give you my most educated guess. Regardless on how well the overall economic climate improves, rates will likely go up because the feds will stop their intervention.

So regardless if, as you’re reading this, there are still low interest rates in the air, make no mistake, higher interest rates are on its way!

Back to the “new-old” path with Sunstreet Mortgage, LLC”

I’d like to share some very exciting news with you. As you know, I have spent the last five years of my life in the Real Estate Industry.

Over the last couple of months I realized that I needed to make a change. Now, I find myself changing direction and following a new, and by the same token old, career path.

Ten years ago, working as a Loan Officer with Lund Mortgage, I had more hair, but only a little experience in the lending field.

Back then I had a tough going and most likely it had something to do that back at that time it was all about taking applications for refinances, and it was not too important to comprehend the needs of real estate agents and brokers. So I became one.

Over the years as a REALTOR; friends, family and acquaintances have asked for my mortgage-opinion advice regarding financing a home and as a REALTOR I have always loved working to help people achieve their goal of home ownership. I always seemed to find the time to help out when ever possible, but never really could be directly involved in the lending process.

To be honest, it drove me nuts not to have a hand in the lending aspect of the real estate transactions I helped facilitate.

Now, I am bald, have some more experience and certainly a better understanding of what agents (and consumers alike) need in a mortgage-partner.

Considering the mortgage industry and lender licensing in these turbulent times, the amount of lenders has significantly shrunk. This is my opportunity to get back to my old, now new again, path to help consumers achieve the goal of home-ownership.

Times are different from when I began my original quest. More regulations, procedures and paperwork are now in the mix, as well as the mortgage loan officer license. I view this as a new and exciting challenge and opportunity.

As of January 14th 2010 I am a loan officer originator with Sunstreet Mortgage, LLC – and trust me, I did not make that decision lightly. You probably haven’t heard about Sunstreet Mortgage, LLC in the Phoenix Metropolitan Market yet, but that will soon change with the new branch opening. I will tell you more about the branch and the company later…

Now that the cat is officially out of the bag this blog will transform and I will try to post more regularly.

21st Willo Home Tour & Street Fair this Sunday, February 8th 2009:

If you follow my blog, you might know by now that I love historic homes. Perhaps it has something to with the fact that I grew up in Europe and once lived in a timbered house in Southern Germany (here is a picture on flickr of the Street where I grew up) that dated back to the 14th Century.

February is Willo Historic Home Tour Month, and I have previously written about the Willo Historic Homes Tour. No, Historic Willo does not date back to the 14th Century; however, it is the largest historic district in Phoenix, Arizona and presents itself as a great area to live for people who don’t dig stuccoed Tuscan Style 2×6 Construction behind block walls or “Fauxdobi” (as I call fake adobe homes).

The Willo Neighborhood dates back to the 1920’s and 1930’s, and is where architectural styles like Tudor Revival, Greek Revival, Spanish Colonial and Pueblo Revival appeared decades ago and now may be an ideal hunting ground for “Historic Home Hunters”. So, if you have been pondering about possibly moving to a historic neighborhood then the Historic Willo Home Tour and Street Fair is a great way to get get your feet wet.

This year people can even purchase tickets at a discounted price if they buy their tickets online (that is if purchased prior to Saturday, February 7th 2008 at 1:00 PM) and then are able to pick them up conveniently at 3rd Avenue and Holly; just don’t forget to print your receipt and bring it with you.