Sacramento Real Estate Views

Interest Rates Decline

Didn’t I Say They Were Going Up?

Oh for heaven’s sake.  In one of my most recent mortgage rate updates, I cited industry sources who plainly said that mortgage rates were on the way up and that the low rates we’ve been experiencing, due to a “robustly” growing economy would soon be over 6%.

Those damn pundits, as usual, have no clue!  Why do I listen to them?  You shouldn’t either.  Anyone who tells you they know what’s going on should be avoided.  Realtors especially. (did I say that out loud?)

Anyway..rates have gone back down after rattling around a bit higher since the beginning of December.  The outlook?  It’s clear I don’t know!  So let’s go here..

If the economy improves and the indicators that are responsible for interest rates going up are there…guess what?  Interest rates will go up.  If the economy declines and the indicators that are responsible for interest rates going down are there…guess what?  Interest rates will go down.

That said, it doesn’t always work that way due to government intervention so WHO KNOWS?  At this point and all points along the way, anything can happen.

From The Horse’s Mouth

Frank Nothaft, VP and head economic honcho at FreddieMac.com had this commentary to add:

1)  Interest rates for fixed rate mortgages eased this week. (Insightful!)

2)  ARM’s were mixed. (?)

3)  Rates are low, refinancing is up.  Over the last 3 months, 75% of  mortgage activity has been refinancing. (Interesting factoid)

4)  The FED reported positive news in housing and the overall state of the economy on January 13th.  Economic activity improved in 10 or the 12 districts measured.  Home sales in the lower price ranges has increased. (We’re seeing that here..still)

Well once again Frank, riveting!

Rates were 5.06% for a conventional 30 year fixed rate mortgage.  Last time this year they were around 4.96%.

Local Lender Quotes

This week our local lenders “lend” their insight to make this post what it is. (no pun intended!)

Pat Murphy, Guild Mortgage, 916-212-9451, Pat@patmurphyloans.com

The 30 yr fixed conventional rate has remained steady at 5.125% as of this morning.  But as we know, rates do change constantly!

Want to know more about your choices in the housing market?  Do you qualify?  For how much?  Should you rent or own?  Is credit is a problem?  If so, I can help review your situation and suggest ways to improve your score.  Need help sorting through it all?

Contact me at (916) 212-9451 or pat@patmurphyloans.com.

Free Advice – Honest Loans – Pat Murphy!

Stephen Hart, Master’s Team Mortgage, 916-719-4295, StevenHart@helloworld.com

“Welcome to the wild roller coaster of the mortgage industry. Monday began with prices getting worse for interest rates, Tuesday saw price improvements, Wednesday we lost 31 of those points and today we start by gaining 12 points back.

This kind of market volatility is the biggest reason to work with a trusted mortgage professional who can keep you informed of what is happening with mortgage rates. With all of this volatility, mortgage rates are still in the low to mid 5′s for conventional and FHA loans under $417,000. Conventional and FHA loans above $417,000 up to $580,000 are in the upper 5′s. Homebuyer tax credits are still available, however, you must be in contract no later than April 30, 2010.

This just in, the Federal Government has put 15 lenders on a watch list for price gouging through their AMC’s (Appraisal Management Company). Go figure, a well intentioned regulation that has been poorly thought out and implemented. We will see how this one progresses.

Questions, comments, what does all of this mean to you? Call me, Stephen Hart, at 916-988-5858, I look forward to guiding you through the maze of obtaining a home loan. Make today an an amazing day!”

There you have it folks, insight from YOUR local lending resources.  Please let us know if you have any questions and always remember, mortgage rate updates are always out dated the moment they are posted! Rates can change in every moment.

For current rates or home loan questions, please fill out the form below and we’ll get back to you today.

Thanks for visiting!

Home Loan Information Request

1. Your Name(required)
2. Email (email required)
3. Phone(required)

 

cforms contact form by delicious:days

No related posts.

Tags: mortgage rates sacramento

This entry was posted on Friday, January 15th, 2010 at 7:15 am and is filed under Mortgage Information. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Leave a Reply

Name (required)

Email (will not be published) (required)

Website

Receive an email if someone else comments on this post?

Spam protection by WP Captcha-Free