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Rates are the lowest since Sept. 2005!

By Ryan Morrow

Mortgage and Lending with Sierra Pacific Mortgage Company

January 04, 2008 12:05 PM

Ryan Morrow
Loan Officer
Skyline Financial Corp
Phone: (661) 992-2216
Fax: (818) 971-4371
ryanmorrow@skylinefinancialcorp.com

Rates are the lowest Since Sept. 2005!

Bond Rally Drives Rates Lower

Looks like we are starting out the year on the right foot. The Bond market has rallied after the recent job reports came in poor and the unemployment rate rose slightly. Remember bad economic news is generally good for mortgage interest rates.

The timing is perfect for those who are currently seeking financing, but this good news may not last long. Many fear that this recent drop in rates will not last as the bond seems to be way over valued and their is fear that investors may sell off resulting in higher interest rates.

With housing prices continuing to decline now is not the time to wait if you have an adjustable rate mortgage. If your rate will be adjusting call me and Ill provide you with an adjustable rate worksheet that will help you predict the increase. Not sure what type of loan you have call me and Ill help you read through your loan documents to find out.

Those looking to buy now can take advantage of the recent dip in both rates and housing prices allowing them to afford much more home for their money. Keep in mind many of the 100% loan programs will be going away after Jan 14^th 2008. If you are in need of 100% financing you must be looking NOW! Your escrow can close after Jan 14^th but we will need a property address prior to get your eligibility locked in.

Feel free to pass this information along to others who may need some assistance. Below is an example of what rates are available to you right now. Here's to a great start in 2008!

Mortgage Interest Rates*

Rates as of 01/04/2008:

	Conforming	APR	Payment per $1,000	Jumbo	APR	Payment per $1,000
30yr. Fixed	5.625%	5.728%	$5.76	6.375%	6.497%	$6.24
30yr. Fixed Interest Only First 10yrs	6.00%	6.105%	$5.00	6.625%	6.749%	$5.52
5yr. Fixed	5.25%	5.351%	$5.52	5.5%	5.615%	$5.68
5yr. Fixed Interest Only First 10yrs	5.25%	5.334%	$4.99	5.5%	5.597%	$5.16
5yr. Fixed Zero Down 100% Financing	5.75%	5.854%	$5.84	NA%	0.000%	$0.00
CALHFA 35yr. Fixed 5yr. Interest Only	6.25%	6.348%	$5.21	6.5%	6.612%	$5.42
CALHFA 40yr. Fixed	6.5%	6.593%	$5.85	6.5%	6.605%	$5.85
FHA 30yr. Fixed	6.00%	6.105%	$6.00	NA%	0.000%	$0.00
CHDAP Second Mortgage	3%	3.088%	$4.22	NA%	0.000%	$0.00

*Rates are subject to change due to market fluctuations and borrower's eligibility

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Ken Cook

Content, coding, marketing, host. - Marietta, GA

Content Marketer/Creator

Ryan is absolutely correct. If you're thinking about buying but don't think the money is available or cheap enough you couldn't be more mistaken! Overstocked inventory, desperate sellers and builders and cheap money. Don't believe the negative reports that real estate will never recover--it ALWAYS has and it will this time. Buy for rental if no other reason. Millions of people who qualified for loans 6 months ago don't qualify today but they still need somewhere to live and it may as well be paying your mortgage while they rent from you!

Jan 04, 2008 12:12 PM

John Walters

Frank Rubi Real Estate - Slidell, LA

Licensed in Louisiana

Great news, I guess the news media won't give us any help saying things are good.

Jan 04, 2008 12:27 PM

Gary Bolen

McCall Realty - South Lake Tahoe, CA

CRS - Lake Tahoe Real Estate Information

nice chart, and yes the rates are great. it is a very good time to buy. now if the media would just realize they are not RE agents....

best new years wishes

Jan 04, 2008 12:35 PM

Esko Kiuru

Bethesda, MD

Ryan,

Now is the time to buy or refinance. Several areas in the country have seen prices decline steadily, but it won't go on for ever. It's impossible to predict the absolute bottom, so now that the rates are so low would be a good time to make a move.

Jan 04, 2008 12:54 PM

Rates are the lowest since Sept. 2005!

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