Here are 5 really good reasons you won't see a Housing Boom anytime soon. No More Mortgage crazyness. Housing doesn't look like it has a chance of coming back strong anytime soon. You have problems with negative equity, shadow inventory, and more. It could be many years before housing really starts to recover. And it makes sense, so jump in and see if you agree.

Rising rates are not always bad. From the standpoint of debt you'll likely see rates on your credit cards rise, which can cost you more money. On the other hand, if you are investing you can make more money while the rates are higher or rising. If you have a lump of cash come in you have to decide where to put it.

So where do you think you are in relation to building enough money up to retire comfortably? Or at all? Or will you have to continue to work part time when you should be retired? It's well known that as a nation we are not saving enough for retirement.

There is an increase in refinancing to put cash back into the home and shrink the mortgage. You really need to sit down and look at whether this is a good idea or not.

No More Mortgage Surprises During the Closing of your Loan.If it hasn't happened to you, you can almost be sure you know someone it has happened to. That is the costs and fees of your mortgage loan are different when you go to sign your documents than they were the last time you saw your numbers.

I don't know if it's poetic justice, down right scary, or just as sign of the times. The Mortgage Bankers Association has to sell it's headquarters because it's underwater. Do you think they were able to get a loan modification when so many homeowners are not getting the help they were told they would get?

It's no surprise that the delinquencies are high with jumbo loans. Many, if not most borrowers in that category are carrying large amounts of other debt and were when they qualified. It's extremely difficult to almost impossible for most of them to refinance due to falling home prices and debt to income ratios. How many of these delinquencies would not exist if it weren't for the other debt burying these home owners?

Mortgage Approvals Are Getting More And More Scarce « Home Loans …
Higher minimum FICO scores; Larger downpayment requirements for purchases; Larger equity positions for refinances; Lower debt-to-income ratios. So, if you're on the fence about whether now is a good time to buy a home, or make that refi …

Here is an interesting story about a family that got caught up in the bureaucracy of the banks when their mortgage servicing was changed and are now facing foreclosure due to "paperwork". Hopefully they'll fix the issue and get to the point where they have no more mortgage problems. But it shows you the importance of making sure you are on top of your finances. This should have been easily caught right away on the statements.

Read more on Bank glitch traps pair in web of foreclosure…

In August, prices rose in 17 oF 20 cities. Only Charlotte, Cleveland and Las Vegas recorded month-to-month declines. In the past year, prices are down 11.3% in the 20 cities. Prices in all 20 cities were lower in August 2009 than in August 2008, but in general, year-over-year declines have lessened. "We do want to remind people of the upcoming…

Following are, in descending order, the price changes in each of the 20 cities in August:

Minneapolis, up 3.2%
San Francisco, up 2.8%
Detroit, up 1.9%
Chicago, up 1.7%
Los Angeles, up 1.6%
Phoenix, up 1.6%
San Diego, up 1.6%
Washington, up 1.4%
Miami, up 1.1%
Atlanta, up 1%
Denver, up 1%
Boston, up 0.9%
New York, up 0.5%
Tampa, up 0.4%
Portland, up 0.3%
Dallas, up 0.2%
Seattle, up 0.1%
Las Vegas, down 0.3%
Charlotte, down 0.4%
Cleveland, down 0.5%

Read more on Nationwide Home Values…

No More Mortgage is very concerned about the chart below, which shows the second wave of mortgage re-sets coming down the pike, starting in summer 2010.
It is noteworthy that we are in a "lull" which may have allowed confidence to push up US equities over the past 6 months.
Note that the first wave of mortgage re-sets was largely comprised of sub-prime mortgages that came due during 2007. This second wave is mostly comprised of OptionARM loans, which were the mortgage vehicle "du jour" in California, Arizona, and Florida during 2005-2006, and which will begin impacting the economy next year.
In these sun-belt markets, high real estate prices drove home buyers into using these low-ball loans, which allowed borrowers to pay below-market monthly payments. The re-set period is 5 years on these loans, and many of the collateral properties are well under water in value.
It was the first wave of mortgage defaults which led to the fall of Fannie/Freddie and the market break in the fall of 2007. It remains to be seen what this next wave will do when it begins to hit over the next few months. No More Mortgage believes that the risks for the US economy are serious.

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Read more on OptionARM Loans and Mortgage Re-Sets Are Cause for Concern…

NO MORE Mortgage is happy to see the latest home price statistics, but we are cautious that a final bottom has been set. One month does not make a trend. We continue to believe that the current rally, both in home prices and in the stock market, will be tested this fall, and if the indexes are still showing signs of improvement by October, then we can take heart.

Read more on First housing gain in 34 months…