The Veterans Affairs (VA) loan limits have been posted for 2011.

For all counties in Arizona, the 2011 limit is the standard $417,000.

Bank of America says:
“Although rates are still near historic lows, they have been headed up… and indications are that those very low home loan rates may be behind us. In fact, there are only a few things that would bring back the lows we saw in early November:
*If the tax cut package doesn’t get passed, it would be bad news for the economy and stock market – but it would help interest rates.
*If the Fed’s recent round of quantitative easing doesn’t meet its mission of creating inflation, boosting stock prices, lowering unemployment and creating consumer demand – bond prices could make some gains as the threat of deflation reemerges.
*If the financial problems in Europe worsen significantly – which would drive investors into the safe haven of the U.S. bond market – it could help bond prices, but probably only modestly.

Realistically, the chances of these events happening are unlikely. In the end, rates may see some brief and fleeting improvements, but many experts believe they will likely continue to creep up over time.”

Index investing means that you give up a fund manager and simply buy a fund that mirrors a securities index. It has advantages.

Freddie and Frannie will not foreclose on your house from until Jan. 3rd.  Sounds like a really nice thing to do, right?  (nice list) Well, they will not actually evicting you, but they will continue to do the paperwork and all that is needed to evict you after the 3rd (naughty list). So no one will be on the street with their christmas tree.  Although I do not agree with putting people onto the street during the holidays, this will just glut the market again and push down the price.  Everyday that they extend a foreclosure is another day longer it will take for the housing market to rebound (naughty list).

So if you are a seller I would suggest listing your home right away before all these homes hit the market.  As a buyer it might be a good time to wait until after the New Year, but get your ducks in a row- get pre-approved and know what is on the market.  All foreclosures required a pre-approval.

Mortgage Rate Outlook 2011 – CNBC.com.

From the chart below it appears that the Dow has found and established its support at the 11,000 lev

NEW YORK – Dec. 10, 2010 – Homeowners who delayed locking in super-low mortgage rates – think close to 4 percent for a 30-year fixed – may have waited too long.

Rates are creeping back up, in part because of the tax-cut deal in Washington. Now those in the market to buy or refinance have to decide whether to take what’s available or wait – and run the risk that rates will keep rising.

Freddie Mac, the government-backed company that buys and sells mortgages, said Thursday that average rates on 15- and 30-year fixed loans increased sharply from last week. It was the fourth straight weekly rise. Fixed rates had been the lowest in decades.

“People thought for a while that rates would fall below 4 percent, and they hedged on that,” said New York mortgage broker and banker Andrew Toolin, who had just been on the phone with a client who is paying 5.875 percent on his mortgage.

A month ago, the client passed on what now looks like a once-in-a-lifetime opportunity: the chance to refinance at 4.125 percent. That would have put $321 more in his pocket each month.

He held out, thinking he could do even better. Now the rate is up to 4.75 percent. He could still shave money off his monthly mortgage payment, but not nearly as much – about $229.

“He’s wondering if he should wait for rates to go back down,” Toolin said. “He’s talking to his wife tonight about what to do.”

via Borrowers wait for lower mortgage rates and lose.

According to NAR the home sales for the last quarter are up, which is a surprise for everyone.  In our market we did see an increase in buyers (not closings) in Oct., but a dip again in November.  http://ow.ly/3jToB  In Wisconsin the weather is a large factor in sales, Dec 4th was the first snowfall which is great for sales.  As soon as the snow flies people are busy until after the new year.  Another interesting topic that came out of this video was the default rate.  Looking at the numbers more people should be defaulting on their mortgages.  The reason- lending is too tight.  I have clients that looked like they were ready to buy only to find out they could not qualify under the new lending guidelines or the amount they could qualify for was way too low.  If you are even considering buying you should talk to a lender https://www.wfhm.com/loans/sabrina-fryer/index.page

A lot of people thought the private sector employment numbers would contain an upside surprise, howe

The Dow Jones Index closed at 11,255.78 today, up +249.76 points and up 2.27%. The first day of Dece