Mortgage interest rates continue to still be very low, ranging from 4.00% to 4.50% for a 30 year fixed rate. This is all dependent on your credit scores, your down payment, the size of your loan amount, and the type of mortgage program. And if you want 3.875%, you just have to pay some points.
I am sure many of us have been extremely use to the low rates in the last 6 months, to where we have reached record lows since interest rates were first recorded back in 1971. But don't get to comfortable, because what comes down most go up.
Can predicting interest rates be tough? You betcha, especially in this market and you will have experts from both sides of the fence tell you that rates will stay low for another year or that they will increase drastically by the end of the year. But who truly has that crystal ball. All that most can do is speculate off of today's current data and trends. But it's been proven that all it takes is one day of severe bad news and rates can jump. So where am I going with all of this? Read more...
Mortgage Interest Rate Future Outlook
There is more uncertainty in today's economy than there was months ago. There is talk about a double dip recession. And just for the fact that MBS's are dropping in price, this can increase the mortgage rates in general.
The overall picture? Rates have slightly increased this week and we could see a slight decline next week, because the market will adjust some for the overpricing that took place this week. But don't expect that to last long. If you think you have a good rate now, just lock in. If you want to take a risk and have a bottle Pepto Bismol with you, then float, but don't try and get to greedy. In the short term, rates are still low and will be low, but not as low as they were several weeks ago. In the long term, rates are very questionable, and I feel that you will see rates increasing by the end of the year. By how much is another question to be answered in a few weeks. Locking Outlook : Lock your rate
Word to the WISE :
If you see individuals and or mortgage companies offering mortgage interest rates under 4%, there could be many points and or high lender fees involved. What is being sold off on Wall Street right now are the 4.0% coupons. Just be careful in what someone might tell you or promise you just to get you in the door.
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