Opinion: This hard truth about the mortgage markets isn't being told

[KY_EnviroGuy]

Opinion: This hard truth about the mortgage markets isn’t being told
Published: April 2, 2020 at 3:35 p.m. ET
By Keith Jurow

Real estate industry sees no problem, hears no problem, speaks no problem

Read here: https://www.marketwatch.com/story/heres-the-hard-truth-about-the-mortgage-markets-that-isnt-being-told-2020-04-02?mod=home-page

Excerpts:

Everyone wants to know what impact the coronavirus and the government response to it will have on housing markets. While it is too early to hazard a guess, some things are becoming increasingly clear.

Already, it looks as if the U.S. is moving towards a temporary moratorium on mortgage payments. Fannie Mae and Freddie Mac unveiled an emergency program which provides a two-month deferral of mortgage payments for any homeowner who claims to be facing a hardship because of the virus. The payments will be tacked on at the end of the mortgage term.

The coronavirus rescue law just enacted by Congress includes a provision which requires all firms that service federally-backed mortgages to grant a forbearance of up to 360 days for any borrowers who say they have been harmed by the coronavirus outbreak.

It is not much of a stretch to say that this virus has changed everything. Many of you may sense that the virus has undermined what you thought was still a fairly strong housing market around the country. In truth, the so-called housing recovery since 2010 has been little more than a carefully constructed illusion. The belief in a strong housing recovery was carefully devised using a strategy of misleading information, withheld data and false impressions.

We wish the best to anyone concerned about losing their home in this most trying time for everyone......

[SheltieLover]

1. Get to Greatest Page!!!

K&R

[underpants]

2. With incomes down as much as they are

Values will gone down. We just bought in July.

[jimfields33]

7. Cities and other areas will be financially ruined as well

Not only are state and local taxes going down, but sales taxes, tolls, speeding tickets, and now property taxes on next assessment. Total disaster!!!!! Yes we hate tolls and speeding tickets but the local library loves them for just one example.

[pbmus]

3. Still hard to believe mortgage rates are over 3%...

[Flaleftist]

4. Didn't they just lower the borrowing rate to zero?

How hard would it be to push back every mortgage/credit cart/loan payment back a few months? Obviously, there operating expenses for the lenders, but surely that can be managed with stimulus.

[exboyfil]

5. I just flipped my future planning

I was planning on selling my house when I lost my job. Now I am probably going to hold on and hope taxes and insurance don't go through the roof.

I do have it better than most and for that I am grateful. Glad I have a more modest home than so many others who have more expensive homes.

[Wellstone ruled]

6. Places to watch,

Las Vegas,and Orange County Florida. City and County totally dependent on tourist's. They will be the first signs of Housing Foreclosure Eruptions. Afraid it will be on or before May 1 st.