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Beverly Hills, CA Real Estate: Newly Listed Homes for Sale

The houses for sale in and around Beverly Hills are just a small portion of more than 4 million homes sold in California and across the United States every year. We're not just talking listed homes for sale, either. We're talking about homes for sale ...

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/**/ We use cookies to ensure that we give you the best experience on our websiteThis includes cookies from third party social media websites if you visit a page which contains embedded content from social mediaSuch third party cookies may track your use of the BBC websiteWe and our partners also use cookies to ensure we show you advertising that is relevant to youIf you continue without changing your settings, we'll assume that you are happy to receive all cookies on the BBC websiteHowever, you can change your cookie settings at any time Continue Find out more ]]> /*","");a.innerHTML=e;if(f){f.insertBefore(a,b)}else{h.insertBefore(a,b)}g=i.getElementById("bbccookies-continue-button");g.onclick=function(){a.parentNode.removeChild(a);return false};bbccookies._setPolicy(bbccookies.readPolicy())}}})(); /*]]>*/ British Broadcasting CorporationHome Accessibility links Skip to content Skip to local navigation Skip to navigation Skip to search Accessibility Help BBC News Updated every minute of every day One-Minute World News News Front Page Africa Americas Asia-Pacific Europe Middle East South Asia UK Business Market Data Economy Companies Health Science & Environment Technology Entertainment Also in the news ----------------- Video and Audio ----------------- BBC.adverts.write("button");"button"); Programmes Have Your Say In Pictures Country Profiles Special Reports Related BBC sites Sport Weather On This Day Editors' Blog BBC World Service Page last updated at 16:13 GMT, Saturday, 19 September 2009 17:13 UK E-mail this to a friend Printable version Inside the mortgage factory By Paul Lewis Presenter, Radio 4's Money Box Match-making banks looking to minimise interest-rate risk Like many other products, a mortgage has to be manufacturedIn the case of home loans, the factory is a City of London dealing room.One company which does the deals that set the rate we pay on fixed-rate mortgages is ICAPRadio 4's Money Box went to the firm's offices in Broadgate in the City of London, where dealers match banks offering, and looking for, mortgage products Trading floor feverEach broker is surrounded by three large screens but the deals are actually done by a noisy process known as "open outcry" Old technology backs up new The dealers stand up, gesticulate and shout the prices of competing offers until a match is madeOnce a deal is done, it is written on a whiteboard by a trainee broker with a marker penThe desk we are interested in is the one where banks "swap" interest ratesThe brokers are match-making lenders who want to convert the fixed-rate mortgage loans they make to us into a variable rate loan from another bankThose other banks want to sell variable rate loans in exchange for a regular fixed-rate paymentICAP's global turnover across all its desks in 50 countries is $2.3 trillion (£1.4 trillion), every working dayThese deals protect the banks from riskThree out of four home loans taken out recently were at a fixed rateThe rate of interest on those products is guaranteed to stay the same whatever happens to the bank rate or to the rates the banks charge each otherBut lenders run a big risk in lending us money at a fixed rateIf interest rates rise they will have to pay out more to saversAnd if rates rise a lot then they could be paying out more to savers than the fixed rate they are charging on home loans Deals are done by 'open outcry' The same is true if they go to the newly re-opened international money markets where they can borrow money at a variable rateSo they go to brokers like ICAP to find other banks who are prepared to swap the fixed interest payments they will get for a regular variable payment linked to current interest ratesSwap rateThe matching of these contrasting needs is known as the swap marketAnd the price they negotiate around is a rate of interest called the "swap rate"The swap rate figures are updated throughout the day on the screens in front of the brokersThe numbers reflect the rate the market expects for average interest rates over various periods from one to 60 yearsAnd the two-year rate - which sets the benchmark for the cost of fixed-rate funds over two years - was 1.87% on 17 September 2009, when Money Box visited the broker INTEREST RATE ESTIMATES Average over 2 years: 1.8700% Average over 5 years: 3.3250% Average over 10 years; 3.9725% Average over 30 years: 4.0700% Source: ICAP, 17 September 2009 "This 'swap rate' of 1.87% - you can regard it as the market expectation of average floating [variable] rates over the next two years, " said ICAP economist Don Smith"These rates are at a historic lowOther things being equal you should expect that to result in lower fixed rates." But research by the information group MoneyFacts has found quite the oppositeIt shows many fixed-rate deals are risingEarlier this week, the swap rate was 1.83% but the average two-year fixed rate was 5.12%And the gap between them of 3.29% has never been largerKeeping money in the bankRay Boulger, technical manager at mortgage brokers John Charcol, told Money Box there are complex factors at work: "In any market the price you pay depends on supply and demand and there is not enough supply," he said Paul Lewis is shown current swap rates by economist Don Smith "Gross margins are much higher than they were in the pastYou could say that is taking advantage"But the cost of funds is not as simple as looking at the swap rate." He also said that new international rules mean that banks have to have much more capital in their vaults in case anything goes wrongAnd that makes loans of 90% of the cost of a home much more expensive"Lenders have to set aside about eight to 10 times the capital to support a 90% mortgage than they do to support a 60% mortgage." The expense of fixed rates means his company is now advising people to take variable-rate mortgages"In June we were recommending fixed rates," he said"But since then the market has changed"In June swap rates went up but fixed rates went up by more"And comments by [Bank of England Governor] Mervyn King and the Monetary Policy Committee make it clear that interest rates are going to stay low for longerSo we are now recommending tracker rates or discounted rates." A day's dealing endsAround half past four in the afternoon, calls to the dealing floor get less frequent and the shouting has stoppedMost brokers are more interested in the screen showing the international cricket than the one updating their financial informationAnother £1.4 trillion has been swapped, hedged, converted, and de-riskedAnd another day ends in the CityBBC Radio 4's Money Box is broadcast on Saturdays at 12 noon, and repeated on Sundays at 2100hDownload the podcast. Bookmark with: Delicious Digg reddit Facebook StumbleUpon What are these? E-mail this to a friend Printable version Print Sponsor BBC.adverts.write("storyprintsponsorship");"storyprintsponsorship"); bbc_adsense_slot = "adsense_middle";"us" == "us" ? bbc_adsense_country = "us" : bbc_adsense_country = "rest";"adsense_middle"); BBC.adverts.write("mpu");"mpu"); YOUR HOME LATEST NEWS Mortgage lending jumps in March Housing market in 'spring bounce' Former Northern Rock bosses fined House sellers 'outnumber buyers' FSA imposes fine for unfair fees ANALYSIS Filling the empty nest Clicks and mortar Houses 'less affordable now' Prices up or down in 2010? First-time buyers' home truths Flat owners and their lease TOOLS & GUIDES How to buy your first home A video guide for first-time buyers House price surveys explained Mortgage and equity calculators Financial Healthcheck RELATED BBC LINKS Money Box RELATED INTERNET LINKS ICAP Moneyfacts John Charcol Mortgages The BBC is not responsible for the content of external internet sites TOP BUSINESS STORIES Strong demand boosts Intel profit Rio resumes Australia investment Unemployment dips to 2.47 million getRssUrlStory('/rss/newsonline_world_edition/business/rss.xml') MOST POPULAR STORIES NOW function liveStatsTabs(newTab,oldTab) { if (document.getElementById) { document.getElementById(newTab).style.display = "inline"; document.getElementById(oldTab).style.display = "none"; return false; } else if (document.all) { document.all[oldTab].style.display = "none"; document.all[newTab].style.display = "inline"; return false; } else { return true; } } SHARED READ WATCHED/LISTENED Tourists flock to 'Jesus's tomb' in Kashmir Most popular now, in detail SHARED READ WATCHED/LISTENED BBC News BBC News BBC News BBC News BBC News BBC News BBC News BBC News BBC News BBC News Most popular now, in detail SHARED READ WATCHED/LISTENED BBC News BBC News BBC News BBC News BBC News BBC News Indonesia's female 'devil wheel' riders BBC News BBC News BBC News Most popular now, in detail liveStatsTabs('livestats200','livestats100'); liveStatsTabs('livestats200','livestats300'); FEATURES, VIEWS, ANALYSIS Ghost town Has China's housing bubble burst? 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