| S. Florida mortgage firms scrambling amid subprime squeeze
South Florida has much at stake in the furor over the quality of the so-called subprime mortgage market that sent Wall Street into a tizzy last week and has lenders across the nation re-examining loan portfolios.
The region has a higher rate of loans to borrowers with shaky credit than the national average. Meanwhile, the troubles of New Century Financial Corp., the nation's second-largest subprime lender, have affected local offices of one of its subsidiaries.
Home 123 Mortgage, which has offices in North Palm Beach, Boca Raton and Plantation, has stopped funding existing loans and accepting new business, as has New Century.
The Home 123 offices remain open, and employees are working to find new lenders for clients and arrange for closing agents to refund any money they might be holding.
Five People In Tampa Convicted Of Fraud In Foreclosure Prevention Scam
Tallahassee, FL (AHN) - A federal jury March 29 convicted five individuals in Tampa, Fla., on multiple counts of fraud stemming from an indictment alleging a scheme to cheat homeowners out of the equity in their homes and to defraud mortgage lenders. The individuals, Ramzey Moumneh, Kamal Moumneh, Chuong X. Dam, Demetrios J. Voiklis, and Kimberly Brothers, were all convicted of conspiracy to commit mail fraud, wire fraud, bank fraud and making a false statement to a federally insured lender. Each faces a maximum 35 year prison sentence. The defendants targeted homeowners located throughout central and south Florida who were about to lose their homes through foreclosure. The homeowners were told that First Hanover Mortgage Corp., a company owned and controlled by the Moumneh brothers, could help them avoid foreclosure and keep their homes at no cost.
Interest rates on hold - but for how long?
With uncertainty over whether interest rates will rise of fall in the coming months, myfinances.co.uk brings you the latest expert predictions and recommendations. The Bank of England's interest rate setting Monetary Policy Committee (MPC) has held at 5.25 per cent in April, it is the third month in a row rates have been on hold, but experts are predicting this month's vote was a close call. "The MPC has decided to wait and see this month, which is wise, if a little predictable," said Trevor Williams, chief economist at Lloyds TSB Corporate Markets. "Having said that, it's hard to see the MPC waiting too much longer before another hike. Inflation is still a concern, having risen slowly last month, and the economy is still enjoying a period of growth - with house prices and consumer spending still rising." But not all economists are convinced another hike is inevitable.
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