Ask The Basis Point

A Word On Inflation Expectations

Do rates tend to rise on inflation and fears of inflation? Remember that the real interest rate includes both inflation and the nominal rate of interest. In the case of a loan, it is this real interest that the lender receives as income. If the lender is receiving 3.5% percent from a loan and inflation

A Word On Inflation Expectations

Do rates tend to rise on inflation and fears of inflation? Remember that the real interest rate includes both inflation and the nominal rate of interest. In the case of a loan, it is this real interest that the lender receives as income. If the lender is receiving 3.5% percent from a loan and inflation

How Do Mortgage Lates, Foreclosures, Bankruptcies Impact Your Credit Score?

In the past week, we’ve seen promising economic and home price data, but many homeowners are still strained to the point where foreclosure is inevitable—or perhaps “viable” for those deeply underwater homeowners considering strategic defaults. So the often repeated question is: what do late mortgage payments, foreclosures and bankruptcies do to your credit score? A

All About FHA Loans and Mortgage Insurance

RELEVANCE OF FHA LOANS Q: Are FHA loans even relevant for the San Francisco Bay Area? A: Yes. In the 9 county San Francisco Bay Area, FHA loan limits are $729,750. With a 3.5% down payment, this translates into a $756,217 home purchase price. So on a condo with $350 HOA dues, all-inclusive pretax monthly

Simultaneous Bottom For Rates & Home Prices? (charts)

In a market report last quarter, we buried a quotation that’s worth revisiting. It was from investment luminary Dean Witter in May 1933, about 3.5 years after the Great Depression began. He said: “Some people say they want to wait for a clearer view of the future. But when the future is clear, the present

How Do I Appeal My Property Taxes (In San Francisco)?

For Californians, property taxes aren’t automatically adjusted to market levels like many other states because Prop 13 imposes a cap on property taxes as the price of your home goes up. But if the price of your home has decreased and you want to appeal your property taxes in San Francisco, below are some good