Business

By Mara Lee

SACRAMENTO (OBSNews.com) — Today, Congresswoman Doris Matsui (D-CA) announced that the Government Accountability Office (GAO) released a report on the current situation of mortgage foreclosure scams occurring around the country, and an analysis of the government’s efforts to prohibit such deceptive financial practices. In May 2009, Congresswoman Matsui and House Commerce, Trade, and Consumer Protection Subcommittee Chairman Bobby Rush (D-IL) sent a letter to GAO requesting a thorough report on these mortgage scams, which the California Department of Real Estate had described as the biggest consumer fraud it faced that year. The report documents that because of the dramatic increase in foreclosed homes across the country since 2005, opportunities for scam artists were in abundance. But such valuable information had been kept out of the public record — until now.

“I am pleased that the GAO has completed this long-overdue report that I requested, and have finally put necessary information out into the public domain,” said Congresswoman Matsui. “It is imperative that we understand the nature of the size, scope, and type of mortgage scams so that we can help put in place necessary measures to stop them, and promote awareness for American homeowners about how to avoid them. In many instances, the report found that the same individuals that initially steered homeowners into subprime loans are the same bad actors who are offering false promises to struggling homeowners attempting to save their home. These unlawful and deceptive financial practices must stop. The GAO report sheds light on this serious problem occurring in Sacramento, and across the nation. I look forward to working with my colleagues on the Energy and Commerce Committee in reviewing this report and enacting legislation to address the loopholes that allow these scams to continue.”

By Marie Brown

Good News for Would-Be Sacramento Area Real Estate Buyers

SACRAMENTO (www.OBSNews.com) – Home mortgage rates across the United States have dropped for the crucial fixed-rate mortgage that most consumers these days are clamoring for. According to mortgage giant Freddie Mac it’s the ninth straight week that fixed-rate mortgages have sunk to or stayed at a record low.

People vitally interested in the Sacramento real estate market, especially agents, brokers, and mortgage loan officers , not to mention the many prospective buyers and hopeful home sellers, are all hoping that the continued low rates can prop up the local market despite the expiration of some very popular homebuyer tax credits.

4.42% was the average rate for a 30 year fixed mortgage for the week ending August 19, 2010. This number hasn’t been achievd in the nearly 40 years that Freddie has been keeping track. Last week the number was 4.44%.

By Marie Brown

SACRAMENTO (OBSNews.com) - Home mortgage rates across the United States have continued their fall but unemployment numbers are persistently tough here in Sacramento, and elsewhere, and because of the lack of jobs there are fewer house shoppers in the marketplace. On Thursday mortgage giant Freddie Mac published numbers that showed the average 30 year fixed rate mortgage dropped from 4.49% a week ago to 4.44%.

Freddie Mac has been keeping these records since 1971 and, according to Freddie’s chief economist Frank Nothaft, "Interest rates for fixed mortgages and five-year hybrid ARMs again broke record lows this week following reports of a sluggish job market."

By Marie Brown

SACRAMENTO (OBSNews.com) - Real estate market watchers across Sacramento and the nation can continue to enjoy a strong tailwind in the form of continued low interest rates for home loans. Home lending giant Freddie Mac recently reported that the average rate for four types of home mortgage loans reached their lowest levels since 1971.

Part of the reason for the continued decline in mortgage rates is because the prices on Treasury securities has increased. This creates a correspondingly lower yield for the Treasuries, and, because mortgage loan rates almost always follow suit.

Rates on 30 year fixed mortgages averaged 4.49% compared to last Thursday's week end rate of 4.54% 15 year fixed rate mortgage loans carried an average rate of 3.95%, off from 4% the week prior.