Standard & Poors released its Case-Shiller Index Wednesday. The report shows that, on a seasonally-adjusted basis, between December and January, home prices rose in more than half of the index's tracked markets. The strength of this month's Case-Shiller report, however, should be put in context. For one, the report is on a 2-month delay; it's showing data from January, before the start of the Spring Buying Season and before the rush to beat the tax credit. Anecdotally, buyer interest has been strong since, leading to the types of multiple offer situations that drive home prices ...

Starting Monday, April 5, 2010, getting an FHA mortgage in Chicago and nationwide will be more expensive for borrowers. In new guidelines set forth earlier this year, the FHA announced plans to raise additional revenue and reduce the overall risk of its mortgage portfolio.  The changes include the following: Increase Upfront Mortgage Insurance Premiums from 1.75% to 2.25% for everyone A plan to reduce seller concessions from 6 percent to 3 percent An increase in minimum downpayment for FICOs 580 or lower For your own loan, to avoid being subject to higher loan costs, make sure to have ...

Mortgage markets tanked last week, raising rates in Illinois to their highest levels in a month.  Most of the losses occurred Wednesday in what was the worst 1-day mortgage market performance in more than 6 months. Even Friday's rally could barely dent the losses. Most of the movement was tied to geopolitical concerns and worries of a ballooning federal debt load.  The best time to lock a conventional or FHA mortgage rate last week was Tuesday morning. This week, markets should remain volatile. There's a large set of economic data due for release, plus trading volume will thin as ...

Many fear it, while others love it.  That's right, I'm talking about tax season.  For most Americans this is the largest check aside from their paycheck that they will receive all year.  It's estimated that the average tax return will be about $2,800 in 2010! It is no secret that Americans like to indulge and will often spend more than they should.  Therefore it is not uncommon for many to splurge on a nice vacation, perhaps a spring shopping spree, or maybe even a lavish dinner at that trendy new steak house. Considering the current economic environment, it is important to be more ...

Home values fell again in January, according to the Federal Home Finance Agency's Home Price Index. Values were reported down 0.6 percent, on average. We say "on average" because the Home Price Index is a national report. It doesn't capture the essence of a local market , or even a city market like Chicago. The most granular that the monthly Home Price Index gets is regional and January's report shows that: Values in the Mountain states rose 2.0% Values in the Pacific states were flat Values in the East North Central states fell 1.8% It's hardly helpful for home buyers entering the market, ...

April 15 is Tax Day and the IRS estimates that the average U.S. household will receive a $2,800 tax refund this year.  If you're among the Americans expecting a refund, this 4-minute piece from NBC's The Today Show may be helpful. It's a talk about how to receive a refund and what to do with it. Some of the key points discussed include: Why state-issued tax refunds may be delayed this year How wage-earning people can claim their "Making Work Pay" tax credit of up to $800 How to direct a tax refund to a 529 college savings plan for an even bigger tax refund There's also ...

As expected, Existing Home Sales fell in February, slipping 30,000 units versus January's numbers. It's the 4th straight month in which Existing Home Sales were lower, month-over-month. An "existing" home is one that is previously owned and lived-in (i.e. not new construction). Existing Home Sales peaked in November 2009, just as the First-Time Home Buyer Tax Credit was set to expire. Immediately thereafter, according to the National Association of Realtors®, monthly sales plunged 17 percent in December, then another 7 percent in January. Comparatively, February's dip is a modest 0.6 ...

Photo by Sean Dreilinger Hoping to sell your home soon — or at least see its value bounce back? Prepare for some discouraging news. Despite low interest rates and the looming deadline for the $8,000 federal tax credit for first-time home buyers, new sales data points to a housing market that’s still sluggish, stuck in the trough that’s kept sales figures low. The National Association of Realtors said Tuesday that sales of existing homes in February dropped slightly from the previous month, and so did the national average price of a home. The group said 5.02 million homes sold ...