A dollar certainly doesn't buy what it used to. But it can still fetch you a bargain or two, if you look in the right place. Money Editor Stacy Johnson explains… (video runs 1:33)…
Know of any other ways to save a dollar during these tough times? Share them with our readers by using the "comment" link below. We'd love to hear from you.
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Between rising foreclosures and falling home prices, housing issues became a huge concern in the months leading up to the election. As such, they're likely to continue to take priority during President-elect Barack Obama's first term.
"This is really an unprecedented crisis we're in," said Peter Tatian, senior research associate for the Urban Institute, referring to the foreclosure problem and its ripples through Wall Street. "People are still trying to figure out what the size and the nature of the problem is, and how to intervene to solve things."
A full slate of complex housing woes needs to be addressed, from the restructuring of mortgage giants Fannie Mae and Freddie Mac to the modernization of the Real Estate Settlement and Procedures Act, which governs home sales.
But foreclosures are likely the No. 1 concern, because that problem is a big one.
According to a report from Credit Suisse, 6.5 million loans were expected to fall into foreclosure over the next five years. That's based on home prices dropping 10% in 2008 and 5% in 2009, before rising 3% in future years.
The Center for Responsible Lending estimated in August that nearly 2.2 million foreclosures would occur due to defaults on subprime loans from late 2008 through the end of 2009. More than 40 million homes in neighborhoods surrounding those foreclosures would suffer price declines as a result, causing a $352 billion total decline in property values, or an average $8,667 per home.
Federal and mortgage industry efforts are already underway, with various degrees of success, and will continue to evolve before Obama takes office.
On the campaign trail, Obama proposed a three-month moratorium on foreclosures for banks or lenders getting money from the $700 billion federal rescue plan — if the customer is making a good-faith effort to make payments and renegotiate the mortgage.
What do you think, realistically? Will Obama be successful in getting a three-month moratorium on foreclosures passed, or will that promise fall into the "Campaign Rhetoric Garbage Can"? We'd love to hear your opinion. Just click the comment link below and tell us what you think.
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The Pending Home Sales Index for the month of September fell 4.6% to 89.2 after climbing 7.4% in August, according to the National Association of Realtors (NAR). Still, the index was up 1.6% from a year ago.
The NAR report said the dip in sales was tempered by a sharp decline in prices, which fell 9% year-over-year in September. Also propping up sales to some extent were affordable mortgage interest rates, which dipped below 6% for a 30-year fixed-rate loan during the month, according to Freddie Mac.
One bright spot: NAR reports that the drop in home prices, combined with low interest rates, have brought home buying affordability to 2003 levels.
We're interested in knowing what you think about the current real estate trends, and whether current trends will be affected at all by the recent elections, and if so, how. Use the comment link below to tell us what you think.
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Did you know that certain fruits and vegatable are best NOT kept in your refridgerator? Some are even bad for other foods if stored together.
In this day and age when everyone is trying everything they can to save money, these produce tips could help. This video runs 1:34, but you may want to watch it twice so you'll remember what should go where.
If you have any questions about this video, or other tips you care to share with our other readers on what keeps best where, use the "comment" link below to tell us your tip. We'd love to hear from you!
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U.S. foreclosure activity in September rose 21 percent from a year earlier but fell by double-digits from the prior month as some state laws slowed the foreclosure process.
Foreclosure filings—default notices, auction sale notices and bank repossessions—fell by 12 percent from August to 265,968 in September, according to a monthly report by research firm RealtyTrac, which records property in various stages of foreclosure.
That means one in every 475 U.S. households received a foreclosure filing in September.
We want to know what you think about the current foreclosure situation in this country. Would you buy a foreclosure? Do you know of someone who has lost (or is in the process of losing) their home to foreclosure? Do you think lenders are more responsible for the skyrocketing foreclosure problem nationwide? Click the comment link below this article and just tell us what you think.. we'd love to hear from you.
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