Flat Fee MLS Blog

                                                                                           According to expert Barry Ritholtz, author of the forthcoming book, “Bailout Nation,” today’s news shouldn’t directly impact anyone who has a mortgage and is paying it on time. But if you are unable to pay your mortgage or are looking to refinance your mortgage, the most recent developments in the credit crisis could have repercussions.

If you are facing foreclosure banks are likely to be much more open to discussing a way to avert foreclosure than they were even a few months ago-because banks are already dealing with a glut of foreclosed homes.

People who are looking to refinance or access a new loan may find that stricter lending requirements make it more difficult or maybe impossible, even though mortgage rates are very low.

Experts do expect more banks to fail as the current credit crisis continues to pay out, although they think most banks will stay solvent. And as the saying goes, time will tell.

In the event of a disaster, it pays to take a few simple steps to ensure that your money is safe. When you are marketing your home on the MLS or FSBO, this is good info for buyers and sellers.

Here are a couple of tips for you:

1. Make sure that your money is with an institution that is FDIC-insured-this means that the government will back your account if the bank fails.

2. FDIC will cover you up to $100, 000. per individual account, or $200,000. per joint account. So make sure that your accounts at each of your banks fall below that limit.

3. If you have large cash holdings, it makes sense to stash your cash in several banks.

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This entry was posted on Monday, September 15th, 2008 at 4:18 pm and is filed under current news, buying a home, fsbo, foreclosures, Flat Fee MLS. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.