Is a Mortgage Crisis Brewing?

Filed under: Mortgage News

Dick Bove, a noted banking analyst, is predicting a pending mortgage crises as we move towards the end of 2014.

The reason?

An end to “quantitative easing” meaning the Fed, which has been buying as much as $40 billion in mortgage backed securities each month, cutting this spending back to around $10 billion. In doing so, Bove predicts a rise in mortgage rates leading to few families and individuals being able to qualify for home loans.

There is also talk about the consolidation of Fannie Mae and Freddie Mac, a plan which is expected to potentially discourage investors and could also lead to higher interest rates.

All of this points to “now” as being a great time to secure a home mortgage and buy or refinance a home. The video below contains more information. Please contact Bill Provost of Vintage Mortgage Professionals if you have questions.  (425) 241-1922