After the massive loss of value in mortgage-backed securities last week, mortgage rates are higher and borrowers are frantically wondering what happened to their interest-rate commitments. Many lenders were simply not making new commitments at all and the market is still unsteady. One thing is for certain, it’s not what the doctor ordered for getting houses sold.

The Obama administration’s attempt to give bankruptcy judges the power to lower mortgage payments was rejected by the Senate last week. The House passed its version of the controversial “cram-down provision” in March, so now it will be discussed in joint session where it is expected to fail.

The Senate also voted to expand eligibility requirements for the Hope for Homeowners program, which encourages lenders to convert adjustable mortgage interest rates to 30-year fixed rates backed by the FHA if the homeowner agrees to pay an insurance premium.

Although Congress planned to aid 400,000 troubled homeowners when Hope For Homeowners was established last year, due to its strict eligibility requirements only one borrower has completed the refinancing process and only 51 more are in the process, according to statistics published last week.

Is it the turnaround we’ve all been waiting for? NAR announced that March pending contracts on existing home sales rose by 3.2%. This increase is explained, at least partially, by low interest rates and the tax credit for first-time home buyers. These sales should close in April and May, which means that we should be seeing an increase in actual sales reported soon. Yes!

Well, it’s been a week now since Freddie Mac’s Chief Financial Officer, David Kellermann, was found dead in the basement of his home by his wife early in the morning on April 22. David was hanging by a piece of exercise equipment, an apparent suicide.

Kellermann was 41 years old and over the last 16 years he had worked his way up from financial analyst and auditor to the postion of Chief Financial Officer.

Our thoughts and prayers go out to David’s family, friends and co-workers.

And our thoughts and prayers also go out to everyone who is deeply concerned, as was David, about the wave of mortgage foreclosures in this country.

Installing and maintaining gutters on your homes and commercial buildings assures that you’ll drain water off your roofs and also away from your foundations.  We don’t always think about how water damages foundations. 

Keeping your gutters free of debris that clogs downspouts as well as the gutters themselves is one good precaution against costly foundation repairs in areas prone to flooding and freezing.