Mortgage rates in Orange County plummeted this morning as markets reacted to Sunday’s news about the government takeover of the two largest buyers of U.S. home loans.

The rate on a 30-year fixed-rate mortgage up to the old conforming limit of $417,000 dropped as low as 5.375% with a one-point fee from 6% on Friday.

And the rate for a 30-year fixed-rate loan greater than $417,000 and up to nearly $730,000 fell to 5.75% with a one-point fee, down from 6.125%.

Of course the lowest rates go to people who meet today’s tougher underwriting standards, such as putting 20 percent down for a purchase or 10 percent and buying mortgage insurance.

Those of you that have been looking and looking, IT'S TIME TO BUY!!!

No telling how long these fantastic rates may last.