The government bailout of Fannie and Freddie had a great impact on Conforming Fixed rates today. Conforming Fixed Rates dropped by .25 to .5 depending on the loan size and type of loan quoted. Many experts are predicting they will continue to drop in the next few weeks. This is great news for well qualified clients wanting fixed rate loans of $417,000 or less.
The tightening of guidelines is expected to continue however. So although rates are great, prospective buyers will pass an even higher bar of standards to qualify.
This improvement on the fixed rate loans had no effect on ARMs which are funded entirely differently. In fact I saw some Conforming ARM rates increase.
It is my hope that the lower Conforming and Jumbo rates we've seen this week will help your clients realize NOW is the time to buy a home. Let me know when your client is thinking about making an offer and needs a loan pre-approval.
Ashleigh Sumlin Bradford Mortgage Company 6000 Fairview Rd, Ste 1410 Charlotte, NC 28210 704-373-2289 office (if you get the automated attendant, choose #1 then #5) 704-307-9908 cell
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