Are we currently in a “Buyers Market” Really??

With all the talk about us being in a buyers market currently, one might wonder where all the buyers are at. You can look around the country as see that tons of neighborhoods are plagued with homes for sale by individual sellers and banks also. So what exactly is a buyers market?

This market can be applied to the old rule of “supply and demand.” When the supply is low the price increases, but when the supply is high the cost decreases for that particular product. This is the market we are in now, where the amount of homes for sale out way the number of buyers. “Hence, a “buyers market.” The terminology can be a bit deceiving, but that is exactly what we are in. There are lots of homes for sale and very little buyers in this current market.

You might be asking where are all the buyers and the answer to that will be in 2009. This is the year where the first time buyers market comes back into action. The reason the first time buyers market disappeared was because of the cost of homes. The cost of homes increased at such an alarming rate around the US that it squeezed the first time buyers out of the game. With home prices falling around the country now it is more affordable for this market to pick back up where it left off.

There are a couple of concerns that worry the housing market and that is inflation and financing. Current interest rates are in the mid to upper 6 range, and if inflation continues to be problem rates will increase after the first of the year. Also the financing arenas have tightened up and now will require money down to get financing in place. So this could be a possible issue going into 2009.

My best advice would be to mange your credit report, and if you are not aware what is on your credit report pull a copy of your free credit report today. You should also save your money for down payment; FHA will require 3.5% investment on any loan financed after October 1st of 2008.

With all the banking scandals and bad loans underwritten, you can count on financing being a lot tougher now. So be better prepared so you will not have issues getting a loan in this current lending market.

About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness

Freddie Mac and Fannie Mae Q & A

Hi Mike,
I see that you guys are in the lending business or have had experience. All of these banks going under are a big concern to me. I have been working on my credit report for the last 12 months. I have actually used some of your great free credit repair articles to assist me with improving my credit report. I have been doing this to achieve a goal, and that goal is to buy a house. It looks like Freddie and Fannie will be helped by the government. What does this mean for someone like me who does not have perfect credit?

Chris Tuttle

Hi Chris,
More people are concerned about the liquidity problem than you can imagine. It is scary when big banks go out of business. This happened in the 80’s as well. What is going to happen, is the banks will continue to tighten up on there guidelines to issue loans. I am sure there will be a lot more banks going out of business. What does this mean for you? This is a great time to save money and work on your credit report, just like you are doing. Not sure what is going on with your credit, but if you have read my articles they will tell you exactly what to do. Remember there is FHA loans still, and it has not changed much since all of this has been going on. FHA works with bad credit to help you get into a house. Good luck.

Mike Clover

About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness

Not knowing your credit scores could cost you

Your credit scores these days are as important as your social security number. Knowing what’s on your credit report along with being educated about your fico scores are critical these days. Everyone bases your credit worthiness on what your credit scores or fico scores are. In this article I wanted to discuss why you need to know your credit scores.

Banks, mortgage companies, car dealerships and credit card companies are all in the business of making money. So if you are educated about your credit scores you can show up being educated about your personal creditworthiness. If you were in sales and offered loans, you would make more money on someone that is not educated about there own credit scores vs. someone that is educated and up to date on their personal fico scores. It is really important to stay on top of this, recent studies show that most Americans have no idea with their credit scores are. This is just opportunity for a creditor to make more money on you.

Advantages of knowing your credit scores
· Pay lower interest rates on loans
· Save money on loans
· Save more money because of better term loans
· Get lower interest rate credit cards
· Get 0% loans because of good credit management

These are just some highlights on what the advantages are because you are educated about your fico scores. Any lender loves an uneducated borrower. If they see that you are clueless about your credit they will charge you higher interest on borrowed money. Remember lenders and creditors are in business to make money.

If you don’t know what your credit scores are, get a copy of your free credit score report today.

About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness

The American Dream on Credit

Do you have everything you need? With all the credit extended to you over the years at low interest rates, how much did you acquire? Maybe the question is do you have everything you want? With the endless opportunity in this country with people coming from foreign soils are you really living the Dream? I personally don’t think anyone has really gone without in America since the “Great Depression.” With the flow on money in our country are we in trouble because we lost the truth about what life is really about? The gates of credit have been opened up like no other time in our history. You can look around you and see that we are in trouble because of the consumer debt. We have been living the dream but on someone else’s buck. Over the last 10 to 15 years our banking system has been giving credit cards and mortgage loans to anyone that had a pulse. Now that we are in trouble what will happen?

Recession
A recession is when our economy has 6 or more months of economic down turn. A recession usually is the result of consumers not being confident about keeping their job or the investments they currently hold. If consumer confidence is down then everyone stops spending. In the US economy our markets go through what is called expansion and contractions. With the current economy and the extent of consumer debt I think it would be safe to say we are in a recession. There currently is a concern in general about the health of our economy which in return motivates families to stop spending.

Depression
A depression is when a recession gets really bad. I don’t think this will happen, but a recession is apparent in our current economy. While some markets are cooling other markets are dong well. Banking obviously is not doing well due to all the bad loans that were underwritten. The one lesson we can learn is to learn from past mistakes and not to make them again.

Anytime there is uncertainty in the market everyone gets scared. Our recommendation is simple; don’t buy anything on credit you cannot payback that same month. With the credit crunch that is going on, you can rest assure that getting that credit extended to you in the future will be a lot tougher. You will be required to have higher credit scores. We know there are times that we have to use credit to take care of emergencies. The lesson to learn is that credit is not for vacations, new clothes, eating out, and unnecessary stuff. You should only spend on credit what you can afford to pay back quickly. We need to be content with what we have. If your idea of the American dream is to get deeper and deeper in debt, you are fooling yourself. That is not what America is about. Yes you need to buy homes with loans, but don’t buy STUFF on credit.


About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.

How a Co-signer can affect your Credit Report

Do you want your credit score to plummet, go ahead and co-sign for someone. I personally believe this is a huge problem. With your credit score and credit report being the roadmap to financial health, the question is can you really afford to co-sign for friends and family. Over the years I have seen more problems with this issue. Here is how a co-signer can affect your personal credit.

Late Payments
If you co-sign for a family member your credit report could be at risk. If for some reason the family member is late on an obligation you co-signed for your credit score just dropped about 100 points. Most people don’t thing about this, but it happens all the time. Anytime someone is late on a obligation that reports to all 3 credit bureaus, that bad mark will be on there for 7 years. It’s not worth it. If you have to co-sign for someone make sure you are not getting ready to make a big purchase, because it could affect your purchasing power as well. Some banks like to see a payment history in good standing usually around 12 months on co-signed obligations. They also typically like to see proof that the payment is coming out of the person’s bank account you co-signed for. So co-signing opens up all kinds of worms in the world of finance.

Income to Debt Ratio
Once you have co-signed on a loan for a friend or family member it could affect your ability to get a loan for something else. That added debt that is showing up on your credit report is technically your responsibility as well. Let’s assume you have this car note you co-signed for and the payment is $500.00 a month. You have now added this debt to your portfolio of debts in a underwriters eyes. In order to buy something else an underwriter may require a good 12 month payment history by the other party to disallow a debt from your portfolio of obligations. So with this being said think real hard before you co-sign on anything. I don’t recommend it. There are ways for someone to get there credit established so they can get loans in there own name. The internet is a great resource. There is anything you can imagine on the web to help you achieve just about anything, including getting your own credit established so you don’t need a co-signer.

About the Author: Mike Clover is the owner of http://www.creditscorequick.com/. CreditScoreQuick.com is the one of the most unique on-line resources for free credit score report, fico score, free credit check, identity theft protection, secured credit cards, student credit cards , credit cards, mortgage loans, auto loans, insurance, debt consolidation ,and a BlOG with a wealth of personal credit information. The information within this website is written by professionals that know about credit, and what determines ones credit worthiness.