May 1, 2017
Since our last report, mortgage loan interest rate trends have held on to some of the improvement seen last week, closing out Friday more or less unchanged, depending on the lender.
This week is a big one-there is a much anticipated announcement by the Fed on Wednesday that has potential to influence rates depending on investor reaction to that announcement. It is entirely possible we could see rates in a defensive mode leading up to the fed with few changes one way or the other.
There’s also an important employment report due out on Friday that could further influence rates-again, depending on investor reaction to the news. These two events, their implications, and how investors deal with all of it could make for a tricky week. There’s also breaking news to contend with, and global issues that can and as of late often do act as an influence.
Those global issues include the elections in France, tensions over North Korea, and the continued talk about Brexit policy. Any, all, or none of these could be a factor this week; it will be a surprise if at least one of them doesn’t dominate the news (however briefly) in the coming five business days.
At the time of this writing, 30-year fixed rate conventional mortgages are still holding on to their best-execution range at the bottom of the four percent zone. Depending on the lender, you may find between a best-execution 4.0 and 4.125% on offer. FHA mortgage rates are holding in what seems to be a new comfort zone between 3.5% and 3.75%.
FHA rates tend to vary more among participating lenders than conventional mortgages; in any case it pays to shop around for the most competitive rates and terms. As always, your financial qualifications will play a great role in your access to rates similar to what is mentioned here.
Best execution rates are listed assuming ideal conditions. Your FICO scores, loan repayment history, and other financial factors will play an important part in determining what rates you are offered. The rates listed here are not available to all borrowers or from all lenders. Your experience will vary.
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.
Browse by Date: