Countrywide is saved

It has been said by many experts familiar with the mortgage market that Bank of America has prevented Countrywide from impending bankruptcy (Check out my last blog entry on my concern about the company). The bank announced that they would be purchasing Countrywide with 4 billion in stock.

Although it does not have much effect on the average home buyer, it does possibly prevent further downfall of the mortgage market. May 2008 see the market stabilize, and purchasers with good credit scores enter back into the home buying market.

If you are interested in buying this year, be sure to check out my website: www.audreybutlerhomes.com

Is Countrywide in trouble?

Amid rumors on Wall Street, it looks like Countrywide could be in trouble. I had a friend predict that the company would not be in business by the summer of 2008.....unfortunately, she may be right.

I believe part of the problem started when they refused to work with their clients. Many got into a fix when their loans readjusted. I know that they have investors to answer to, but what was wrong with readjusting their loans, either out a few extra years, or earning a little less so someone could stay in their home?

Make sure when you are working with a Realtor that they are able to help you understand what kind of loan you are getting into when you buy a house. I had some clients a couple of months ago that wanted a loan, but with their credit they interest rate would have been unreal. I recommended that they wait about a year and repair their credit, before trying to purchase a home. No need to cause additional stress.....

If you are interested in talking about your credit situation, I can put you in touch with some great people, with no obligation. E-mail me at audrey@audreybutlerhomes.com