After the housing market collapsed, followed by the credit crunch, it became quite difficult for people to buy homes. However, now, while still tight, it is becoming easier (than a few months ago) to find a mortgage. So how do you know what to get and what will you be happy in?

Here are some tips from the New York Times:

1) Start with the basics. Put 20% down on your home, get a fixed rate mortgage, and make sure that your mortgage is no more than 35% of your pretax income.

2) Consider your income. Being overconfident in your income will only get you in trouble when it comes to buying a home. You need to make sure that you’re still able to save money every month in addition to paying the mortgage.

3) Bow to the Unknowns. There may come a time when you decide to have children or change your career. If or when this happens, you need to make sure that you’re not caught up in a mortgage that keeps you from doing what is truly rewarding to you.

4) The 8 Hour Rule. If you can’t sleep through the night because you’re worried about how much you’re going to pay for the mortgage or worried about how to pay for the mortgage you shouldn’t be getting the house. If you have to take sleeping pills to help yourself get to bed at night, then perhaps it’s time to rethink the entire home purchase.

There are three more rules along with much more detail about each tip at the article source at the bottom of the post.

I think that there are a lot of things to consider when buying a home; all of these tips are great. Mortgages are not something that should be entered into lightly and should really be thought about because when you’re unable to pay your mortgage then you’re going to have credit problems for a long time and you will also find yourself in a lot of heartache about what was supposed to be your “dream”.

Source

According to The New York Times, which cites an executive at the bank, the U.S. government told BofA it needs nearly $34 billion in capital to survive a worsening of the recession. An official announcement of the results of the government’s stress tests of 19 banks is expected after the close of U.S. stock-market trading Thursday.

All indicators are saying that the worst of the recession is over and perhaps the government should make BofA sweat a little before giving the banking giant such a large sum of money (it doesn’t have).

Source

The New York Times Co., is trying to get the union to make $20 million in concessions. So far it has been able to reach agreements with six unions, but the Boston Newspaper Guild is holding out.

If they can’t reach an agreement, the New York Times Co. has threatened to shut the Boston Globe down.

Looking at how many journalists are losing their jobs, especially print journalists, I can’t understand why the union wouldn’t want to negotiate with the Times. If the paper is shut down, everyone at the paper will be without a job, and I’m sure that is not what the Boston Newspaper Guild is trying to do.

Unwanted brands, factories and health care obligations are the departments that are likely on the chopping block.

Last week the GM CEO said that bankruptcy was avoidable for the company, however, it looks more and more like bankruptcy is the best and most likely option for the company.

It’s fine that he resigned, after all, it will likely take some of the heat off of him. However, the forum he chose to resign is a bit odd.

In a letter to the New York Times Op-Ed column, DeSantis gave his resignation letter.

In the letter he basically said that the Financial Products division was duped by the rest of AIG and that elected officials are after them because of it.  He went on to say, “In response to this, I will now leave the company and donate my entire post-tax retention payment to those suffering from the global economic downturn. My intent is to keep none of the money myself.”

If there was a bounty on my head from the court of opinion, I would likely choose the same very open and public way to resign. Good job Mr. DeSantis, but next time take some of the blame too.

USA Today is America’s highest circulated newspaper and is raising its prices behind The Wall Street Journal and New York Times, which charge $2 and $1.50 and issue, respectively. Price increases are set to take place December 8th.

I have to admit, it’s nice to hear of any newspaper still in business. Every time I read something about newspapers it is that they’re going out of business because people don’t read them anymore. I can say I don’t help much, I only buy the Sunday edition of the Commercial Appeal for the coupons. I get all my news online or from local television news, but it is nice to hear that newspapers are still being circulated and read by a few.

Today different explanations have been given for the stock drop. The main reason being the jobless rate going up. According to the New York Times, “unemployment benefits rose to 444,000 last week, near a 5 year high.” Yea…well, it’s been going up steadily anyway, why would this cause such a significant drop?

Perhaps it’s just the fact everything is getting more expensive.

Maybe not?

Maybe this is just going to roll around as an unexplained phenomenon for a while.

Here’s the AP making an attempt to figure out what happened:

Also according to an article written by AP Business writer Jim Salter, a New York Times report with unnamed sources says that InBev raised their offer from $65 to $70 per share after AB said they wouldn’t accept the buyout, which was only about a week or two prior to this story being published.

AB’s stock price closed at $66.50 today (7-11-08). This is only $.05 short of their season high of $66.55.

The story also stated that the buyout could be completed by the end of the weekend.

So what happens to Budweiser? What about those Clydesdales pulling the cart in the snow? How about that Dalmatian??? I suppose something will happen considering InBev wants to remove all 13 board members from AB.

I suppose only time will tell.