Should I refinance now? Or will fed rate cuts (I hear there will be more) drop the mortgage rates more?
January 28th, 2010 | 
Author: pdogmurphy asked:
This is not a jumbo loan, and I talked to a mortgage guy who quoted me at 5.5 – 5.75%. Just not sure if it’ll go down more.
mortgage refinance
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mortgage refinance
FED cuts have no direct impact on mortgage rates. They are very indirectly correlated. If that is what he quoted you then maybe that’s the best he can offer you.
mortgage refinance
I heard that some banks were offering 4.99% on a 30 fixed, no closing cost loan.
It was on a Real Estate Radio Program in the LA area.
97.1 fm. You should be able to find them on the web,
If they have logs of past shows you might be able to find the advertiser.
mortgage refinance
5.125% (5.39% APR) Conforming 30 year. You don’t have to pay discount points to get this rate. Why wait?
Please make sure you compare apples to apples and APR to APR. The APR will tell you the TRUE cost of the loan. If they offer a 4.99% note rate, ask what the APR is, by law they have to disclose it.
WeFixRates .Com
mortgage refinance
In my experience interest rates for residential real estate tend to be the lowest in the months of November, December, January and February.
I suspect that the reason for that is during those months the demand for houses and Mortgage money is the lowest.
When the spring market gets going, generally interest rates on Mortgages go up, probably due to the increased demand for Mortgage Money..
I would estimate that we are probably at the bottom or very close to it for residential Mortgage interest rates this year.
The rate that you mention, if that is a 30 year fixed, no points and no fees sounds very good. I would grab that rate and lock it immediately.
I have found that trying to pick the absolute rock bottom on interest rates is like playing the children’s game, musical chairs. You do not know exactly when the music will stop. You want to make certain that you have a chair when the music stops.
The same is true on interest rates. The music stops about this time every year. I do not know exactly when the music will stop, but I do know that the music will stop very soon. I recommend that you grab a chair now,.
In this case I recommend that you grab that rate, because the rates will start goiing up very soon.
(edit) I see that some people above me say they know of lower rates. In my experience many people in the Mortgage Industry are bait and switch artists.
They offer ridiculously low rates to get you to sign up with them and then they switch you to a higher rate. If the person that you are dealing with is someone that you know to be honest I would stay with them and take that offer. A 30 year fixed at 5.5% or even 5.75% no points no fees is a very good rate.
I would not go chasing the rates below 5%, in my experience they do not exist.
That is just bait to reel you in to switch you to a higher rate later when it is too late for you to do anything about it.
I recommend go with the guy you have got. (as long as you know that he is honest)
Do not go after the under 5% bait or you may wind up with a hook in your mouth, and believe me that is no fun.
mortgage refinance
Many think the economy is in bad shape and rates will continue to decline. However, late this afternoon the stock market staged an amazing comeback, and rates shot up. If I can give any advice, it would be not to lock today, and wait to see if rates come back down again.