Archives for January, 2011

Changes in bank rules

The current situation is crazy in the banks. All of the banks are rewriting all of their programs. There are a few good new programs available, but they aren’t suited for most people. I need to reiterate what I wrote in a recent post:Real Mortgage Rule #4: What you heard yesterday means nothing today. What we will tell you today could very well mean nothing a few months  weeks from now. Every case is different, and you should always consult your qualified Israeli Mortgage Advisor....
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exchange rates

Israel’s economic recovery and your mortgage

The experts think that the shekel will continue to strengthen against the dollar. This is how they were quotes in Globes, here: Goldman Sachs sees NIS 3.25/$ by year-end. As I am writing these lines, the current exchange rate is 1 NIS = US$0.28. The strongest that it has been in the past five years is $0.31, the weakest $0.26. Clients ask me all the time whether the dollar has bottomed out or not. My answer is usually that I don’t know, but there are still different reasons why different debt takers might be interested in taking out US$ loans, or at least a portion of their loan indexed to it. Just for fun, let’s look at the US$ exchange rate vs. the New...
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