XL-entLady's Account Talk

[GUCHI]

Cutting interests rates this much is not good news for the dollar (which may be good news for the I Fund, though).

Lady
thats what I'm screamin !!! I hope it comes to fruition !!! long time holding in thd "I"

 

[Frixxxx]

Cutting interests rates this much is not good news for the dollar (which may be good news for the I Fund, though).

Lady
thats what I'm screamin !!! I hope it comes to fruition !!! long time holding in thd "I"

Dollar value going down affects global currencies. Devaluing the dollar and no one trusting the borrower ensures NO FUND IS SAFE!

 

[Gumby]

Zacks has an interesting video on yesterday's rate cut on their video page. Look for the one entitled, "Fed Cuts to a Range of ...."

General impression: There is now no charge for banks lending to each other. Fed will be going into the market to try to lower rates to the consumer. Lenders just don't trust borrowers. Fed will start to buy treasuries, agency backed debt. Longterm, inflation will be a HUGE problem. Cutting interests rates this much is not good news for the dollar (which may be good news for the I Fund, though).

Lady

http://www.zacks.com/video/

You are right on target. US dollars are going to be de-valued.

 

[KevinD]

Whats the hedge for a devalued dollar and inflation?

 

[XL-entLady]

Whats the hedge for a devalued dollar and inflation?

Um-m-m, commodities? Like maybe oil? Gold and silver probably. I give up. Anyone else got a good answer?

Lady

 

[Gumby]

Whats the hedge for a devalued dollar and inflation?

My neighbor says invest in lead. As in ammunition.:nuts:

 

[XL-entLady]

Whats the hedge for a devalued dollar and inflation?

My neighbor says invest in lead. As in ammunition.:nuts:

That's not the first time I've heard that answer! :laugh:

Lady

 

[KevinD]

My neighbor says invest in lead. As in ammunition.:nuts:

I didn't know CountryBoy was your neighbor.

 

[XL-entLady]

There has been a discussion today on Corepuncher’s thread about doing a mortgage refinance, and, in order to respect CP’s home and not hijack the thread, I’d like to continue the discussion here.

The comment was made that the refi process is easy. I responded that it's easy UNLESS you're upside down in your mortgage. I purchased my home two years ago. I was smart enough to get a fixed rate mortgage but it's at 6.25%. And home prices in my area, which were among the fastest growing in the nation, have now fallen faster than most. So I'm upside down. Rats!

Poolman was kind enough to respond to my comment as follows: “XL-entLady,

I hear what your saying. I don't know your circumstances but if I thought I could pull it off I would call the institution that was holding my mortgage and insist on a Re-Fi from them otherwise you are thinking of abandoning the home..

Of course this is just what you tell them.. I hope you understand what I'm saying. ”


Poolman, thanks for the feedback. I've been considering doing exactly that (the asking, of course, not the abandoning :toung by leaning heavily on the point that I've had to take a disability retirement since I purchased the house. My only worry is wondering if they can mess with my 800 credit score for just asking them to do this. :worried: Somebody once said, "Sometimes being paranoid is just good thinking."

Thoughts anyone? I'd appreciate any and all comments!

Lady

 

[poolman]

There has been a discussion today on Corepuncher’s thread about doing a mortgage refinance, and, in order to respect CP’s home and not hijack the thread, I’d like to continue the discussion here.

The comment was made that the refi process is easy. I responded that it's easy UNLESS you're upside down in your mortgage. I purchased my home two years ago. I was smart enough to get a fixed rate mortgage but it's at 6.25%. And home prices in my area, which were among the fastest growing in the nation, have now fallen faster than most. So I'm upside down. Rats!

Poolman was kind enough to respond to my comment as follows: “XL-entLady,

I hear what your saying. I don't know your circumstances but if I thought I could pull it off I would call the institution that was holding my mortgage and insist on a Re-Fi from them otherwise you are thinking of abandoning the home..

Of course this is just what you tell them.. I hope you understand what I'm saying. ”


Poolman, thanks for the feedback. I've been considering doing exactly that (the asking, of course, not the abandoning :toung by leaning heavily on the point that I've had to take a disability retirement since I purchased the house. My only worry is wondering if they can mess with my 800 credit score for just asking them to do this. :worried: Somebody once said, "Sometimes being paranoid is just good thinking."

Thoughts anyone? I'd appreciate any and all comments!

Lady

I will chip in more after other member's can respond. I will tell you this. Your Credit Score will not be affected by telling your True Story.

I also have a credit score of 814.

 

[KevinD]

What ever you do, be careful with these "loan modification" outfits. Some are scams.

 

[CountryBoy]

I didn't know CountryBoy was your neighbor.

We'uns are pretty stealthy and lead will trump a gold coin or our almost worthless dollar when playing rocks, paper and scissors. Purchasing lead and iron is patriotic also, because we're stimulating the economy like the Pols want. Plus looting is much more effective, not to even mention efficient, with lead than gold. So if ya don't want to end up being a lootee, invest in the other precious metals. :laugh:

CB

 

[XL-entLady]

What ever you do, be careful with these "loan modification" outfits. Some are scams.

Agreed. I'd never consider them! (And since I'm upside-down a legitimate one wouldn't consider me!:laugh:)

I will chip in more after other member's can respond. I will tell you this. Your Credit Score will not be affected by telling your True Story.

I also have a credit score of 814.

KD and Poolman, thanks for your comments. And Poolman, good for you on the credit score! I know what hard work that is and for lots of years too!

Anyone else? As I said below, I'd appreciate any and all comments. Pluses, minuses, opinions, whatever!

TIA,
Lady

 

[amoeba]

You will be able to refinance at current rates for 80% of the current value of your home, provided you come up with the rest, that is, the remaining 20% plus all of the amount that you are "underwater" on your current loan. I don't think telling them you may not pay the current loan, will get the bank to refinance; otherwise everyone underwater would do it. That would be real high risk to the bank (uncollateralized debt); I think they have had enough of that.

 

[justbizness45]

My mortgage company, which is a national company called me on Friday and offered to refi me at 5.25%. I am currently at 6.3%. I have been paying this loan for 19 months. The guy said it would cost me nothing and my payment would just go down. No reset in term, appraisal or anything. He said it is something that has been authorized for FHA loans. He sent me a good faith estimate. I will look at it tonight and report if anyone is interested.

 

[XL-entLady]

You will be able to refinance at current rates for 80% of the current value of your home, provided you come up with the rest, that is, the remaining 20% plus all of the amount that you are "underwater" on your current loan. I don't think telling them you may not pay the current loan, will get the bank to refinance; otherwise everyone underwater would do it. That would be real high risk to the bank (uncollateralized debt); I think they have had enough of that.

I understand uncollateralized debt; I did bean-counter type work and still do occasionally on a contracted basis.

It just chaps me that I sacrificed for years to ensure spotless credit and to be able to retire with no debt except my mortgage. Not much choice in where I retired because of medical specialists and family member help needed. And now my mortgage is for $80,000 more than my home is worth. And an extended family member who has always had completely sucky credit (and owes me money!) and is building their retirement home just locked in their mortgage today for 4.25%. :suspicious:

Okay ... {deep breath} ... rant over. Whew, that's not good for a person's blood pressure! :nuts:

The only thing in life that's fair comes around once in the summertime with cotton candy and ferris wheels. :laugh:

Lady

 

[amoeba]

well: Come to think of it, I have heard of the type of loan like the FHA mentioned that allows refi's for a certain fixed period beyond origination without re-appraisal (didn't know it was as long as 19 months, but that clearly is a benefit in today's real estate environment - i.e., going down in value).

The topic of refinancing underwater loans comes up hourly on the radio - all kinds of schemes suggested - but nothing I know of which will convince a bank into refi-ing for $80,000 more than the appraised value.

If you want to ask about refi's, go ahead, but I personally wouldn't breath a word to a lender about not paying a loan or abandoning the house. In alot of situations, most in fact, the non-payers end up staying for free until notice/eviction procedings are concluded - up to 8 months. The banks end up eating the costs; and mentioning anything to them wouldn't put you on their good side.

 

[justbizness45]

Well it will cost a little bit but the botton line is my total loan amount goes up about 3k (not free) and my payment drops around a hundred bucks a month. The term is the same as my existing loan now. Oh and I have to pay $1.52 at closing.:toung:

 

[Corepuncher]

If anyone can find a company that will refi my 2nd mortgage, please let me know! I can't find anyone to do it. It's at 7.25% and I'm sure I can get a better rate. I would roll it into a single primary mortgage, but I am at 87% LTV and dont' want to pay PMI.

 

[XL-entLady]

Well it will cost a little bit but the botton line is my total loan amount goes up about 3k (not free) and my payment drops around a hundred bucks a month. The term is the same as my existing loan now. Oh and I have to pay $1.52 at closing.:toung:

Congratulations, JB45! {wistful sigh} Sounds wonderful!

Lady