Mortgage backed securities, FHA loan limits
I just want to give some tid bits about Mortgage backed securities, and FHA loan limits (two separate topics correlated to lending).
Mortgage backed securities, rates keep rising but it’s not a bad thing. Mortgage rates are still low compared to a year to two years ago.
It is a technical chart but you can see the movement of mortgage backed securities and how they have shifted to an adverse position thus affecting mortgage rates negatively. Rates have risen about a .25 to .375 of a percent in the last week and a half and there is not a lot of reason to think at this time, that they will begin to reverse and improve in the near future. If you have clients closing within the next thirty days, the advice is to lock. Please share this with any of your friends or lenders if you have further questions. Agents, if you have clients that are waiting for mortgage rates or home prices to go down, please share this information with them.
FHA info….FHA just announced the new Loan LIMITS for January 2011 through September 30, 2011. (New Fiscal Year begins October 1 2011)
Phoenix and surrounding areas will maintain max FHA Loan Amount at $346,250 which = a maximum financing sales price of $358,809.
The link below will allow to verify any county in Arizona.
https://entp.hud.gov/idapp/html/hicostlook.cfm
Any further questions, don't hesitate to call me and I can refer you to two of the best lenders I know!
(480)772-0290
Raiza Schwartz
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