As always, if you need information on starting a new loan for the purchase or refinance of your home, contact me at trustyourlender@gmail.com

As I’ve discussed in several previous posts, the U.S. Government and the Federal Reserve have been playing a manipulation game over the last 12 months to help keep mortgage rates low.  It looks like the momentum is starting to stall and the Government may be pulling back on their desire (or financial ability) to manipulate the markets.

Without going into a boring econ lesson in this post, the news from the last few days has been drastically unfavorable for mortgage rates.

The treasury auction yesterday was not well received and mortgage rates have gone up twice in the last 24 hours.

In addition to my own opinion, the Wall Street Journal and independent mortgage rate tracker Barry Habib are speculating that Wednesday October 7th was possibly the absolute bottom of the mortgage market for the foreseeable future.

If you have a deal in escrow, lock in a rate THIS morning.  I can virtually guarantee a price change for the worse by lunch time.

Also, if you are still looking for a home, review your terms of pre-qualification.  If you were comfortable with a purchase price and loan amount at 5.00%, there is a good chance you may not be comfortable with that same mortgage amount at 6.00% (a rate which could very well be standard within the next 90-120 days).

Additionally, if you have friends, family members, or past client who are thinking about refinancing… they should do everything possible to get in a new application THIS weekend and lock in an interest rate before Monday.

As always, rates will continue to rise and fall on a daily basis… so there will always be “good” days to lock in.  However, for the first time in a long time, the consensus is that the trend line on mortgage rates will be going nowhere but UP from here on out.

As always, if you need information on starting a new loan for the purchase or refinance of your home, contact me at trustyourlender@gmail.com

Although your trusted lender should always be following interest rate trends, many clients like to track what interest rates are doing on their own time.

I get a lot of questions as to how clients can follow the leading indicators that affect the 30 year fixed interest rate.

Here is how… Read the rest of this entry »

I’ll spend a whole post discussing how the 10 year treasury note affects the 30 year fixed rate mortgage; however, I wanted to get some information out to the public ASAP. The 10 year treasury has climbed from 2.50% to 3.15% in the lat 10 days. Mortgage rates are definitely going UP.

If you have a loan in process, I would lock your rate ASAP.

As always, if you need information on starting a new loan for the purchase or refinance of your home, contact me at  TrustYourLender@gmail.com

A quick update on conforming, 30 year fixed rate mortgages under $729,750.00

Rate right now rates are hovering at 5.250% at NO points and approximately 4.875% at 1 point.

This rate takes certain credit assumptions and qualification factors that vary from bank to bank.  For example, Bank A may offer their very best rate to clients who have a credit score over 740; while Bank B will extend the same great rate for any borrower with a credit score over 680.  Some banks even treat a 30 year fixed mortgage as a pass / fail type of situation; if you qualify for the loan regardless of whether your credit score is 680 or 780… you get the same rate.

A question I get a lot is, “Why are your rates so much higher than the 4.50% I keep hearing about in radio and television advertisements?”… Read the rest of this entry »