July 25, 2015
Mortgage loan rates aren’t quite flat, but the amount of improvement we’ve seen over the last week has been very small. With that in mind, it’s a good thing that the trend has been lower. We haven’t seen rates move from their best execution comfort zones across the board, though our sources report that certain lenders may offer something slightly lower than the best execution rates we’ve been reporting here.
Some are offering 30-year fixed rate conventional mortgage loans closer to the high three percent zone they were in much earlier this year than the 4.0% to 4.125% best execution range we’ve seen all week.
FHA mortgage loan rates have not moved out of the range we reported previously. Best execution rates for FHA mortgages at the moment are between 3.75% and 4.0% best execution. More slow-but-steady improvement and we could see this range of rates change to a single number, but at the current rate of progress (assuming the numbers keep falling) it may take some time to get there. FHA rates do tend to vary more among participating lenders, so it’s best to shop around for the best rate available to you.
Best execution rates seen here are posted assuming ideal conditions–your FICO scores, loan repayment history and other factors will determine your access to these rates. Your experience may vary and these rates are not available to all borrowers or from all lenders.
It was a very quiet week for mortgage loan rates but next week there are policy announcements due and some other scheduled economic data releases that could affect rates depending on investor reaction to the contents of those releases.
Watch carefully next week as we expect things to be much less sedate–there is a “durable orders” report due out on Monday that may affect rate activity, and the Fed could announce the timetable for another rate hike next week (or it may hold off on that announcement). How will markets react to the news? Those are only some of the x factors we’ll be looking at next week.
Do you have questions about FHA loans? Ask us in the comments section.
Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.
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