TheMortgageReports.com
Dan Green, a loan officer and sage of The Mortgage Reports, educates us on why waiting for mortgage rates to drop may hurt you. Private Mortgage Insurance (PMI) is on the rise due to skyrocketing defaults–this is when they pick up the tab on your mortgage. This is, according to Dan more than eating away at any rate advantage you may get by waiting.
By the way, foreclosures and mortgage defaults are not dropping. In fact, there is reason to believe there are other market factors like the drying up of non-conforming, jumbo mortgage credit that may make for high-dollar defaults ahead, continuing to pump up the cost of a mortgage.
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