Articles Tagged With: FHA Loan Rates

July 13, 2016

Mortgage Loan Interest Rate Trends: Moving Higher

Mortgage loan rates moved decisively higher on Tuesday, marking the first real upward trend we’ve seen since the Brexit vote. It’s true that you can’t have a sustained drop in rates without some kind of eventual pushback; that’s what we’re seeing now for a variety of reasons. 30-year fixed rate conventional mortgages have left their previous range behind; last week the bottom end of that range rivaled FHA mortgage rates at 3.25% best execution for some of the most aggressive lenders. Now it’s back up to 3.375% territory, and some lenders are offering best execution rates higher than this. FHA mortgage loan rates are still holding at 3.25% at the time of this writing, but if there is more significant change to rates in the coming days we’re likely to | more...

July 11, 2016

Mortgage Rate Trends: Higher, Then Steady After Friday Jobs Report

By Joe Wallace

In our last report we mentioned that it wouldn’t be a surprise that, in our next look at mortgage loan interest rate trends if we had some higher rates to discuss. That did happen last Thursday as mortgage loan rates crept a bit higher, but when markets closed on Friday after the much-anticipated jobs report, rates were holding steadier than the day before. That means that following a nine-day winning streak with lower rates, 30-year fixed rate conventional mortgages are now within a range, best execution, of between 3.25% for some lenders and 3.375% for others. It’s not often that conventional lenders offer rates in the same range as FHA loans, and FHA’s best execution 3.25% remains for now; if conditions stay the same (more or less) we could find | more...

July 6, 2016

Mortgage Loan Interest Rate Trends: Even Lower

By Joe Wallace

Tuesday marked the first day back from the long holiday weekend, and it brought with it lower rates. That makes seven consecutive business days in a row that mortgage loan rates have improved, and conventional rates are now in some cases, best execution, in line with FHA mortgage loan interest rates. We’ve seen a general downward trend in mortgage loan rates ever since Britain voted “leave” in its national referendum on staying in or leaving the European Union. The fallout from the “leave” vote continues, and as a result the negative economic consequences have helped rates stay low. 30-year fixed rate conventional mortgages are being reported (at the time of this writing) between 3.25 and 3.375% best execution. Compare that to FHA best execution rates of 3.25% and it’s clear | more...

July 1, 2016

Mortgage Loan Interest Rate Trends: Slightly Lower

By Joe Wallace

We’ve devoted some extra time to our coverage of mortgage loan interest rate trends this week, due in part to the lows rates have fallen to, and how rates have been affected by Brexit headlines. Ever since the “stay or go” vote in Britain, we’ve seen that issue make a significant impact on many non-Brit markets including our own. Rates plunged to three-year lows or very near to them in the wake of the “leave” win in the Brexit vote. Now, markets have had some time to adjust but there is still plenty of potential for volatility depending on developments overseas and investor reaction to them. That goes for other financial issues too, not just Brexit drama. Indeed, stateside economic data releases could also affect rates in the meantime, though | more...

June 30, 2016

Mortgage Rate Trends: Holding At Multi-Year Lows

By Joe Wallace

Mortgage rates are still holding at or near 36-month lows. Brexit drama continues to be a factor in the low rates, but some market watchers believe that we’re about to see the first increase in rates soon, if for no other reason than what’s termed “bond market weakness” that could be an indication things are about to change soon. But there is a three-day weekend ahead, and things tend to get a bit conservative around the holiday. Rates could, based on previous holiday activity, go into “defensive mode”, not changing dramatically one way or the other. On the other hand, we have seen assumptions like that proven wrong due to breaking news, changes in investor behavior, etc. In other words, yes rates are low now, but it’s not safe to | more...

June 21, 2016

Mortgage Rate Trends: Higher, Faster To Begin The Week

By Joe Wallace

Mortgage rates kicked off the week moving higher and faster than last Friday. The “Brexit” drama in Europe is partly to blame, as investor reaction to the economic uncertainty there influences mortgage rates here. For a while, bond market activity in that regard was favorable to mortgage loan interest rates, but now the wind seems to be shifting directions. The fact that investors don’t know what will happen with the Brexit (will Britain stay in the EU or depart?) and more importantly, don’t know what will happen economically as a result of whatever choice ends up being made is contributing to volatility and potential volatility between now and Brexit referendum time on Thursday. There are some market watchers who are now saying that recent lows are likely as low as | more...

May 26, 2016

Mortgage Rate Trends: Sideways To Slightly Higher

By Joe Wallace

Ever since the release of the Fed minutes earlier this month there has been upward pressure on mortgage loan rates. The Fed is considering another interest rate hike sooner rather than later, and while a Fed rate hike is not a direct adjustment of mortgage loan rates, investor reaction to the hike and market activity can and often does react accordingly when the Fed acts in this way. In the last five business days there was only one day of recovery, while the rest of the time we’ve seen either “sideways” movement where rates didn’t change that much (best execution) overall but may have varied more among certain lenders. Wednesday saw rates moving sideways to slightly higher depending on the lender. 30-year fixed rate conventional mortgages had been operating in | more...

May 23, 2016

Mortgage Rate Trends: Higher After Fed Minutes Released

By Joe Wallace

Mortgage rates closed out the week sharply higher, moving upwards on Wednesday after the release of Fed minutes which indicate that a June or July interest rate hike by the Fed is a possibility. Since Wednesday there was a bit of recovery, but rates have held at the higher numbers and it’s possible we’ll see the rates listed here persist unless there is further recovery–something that may not be as likely if investors are jittery about a possible interest rate increase soon. The Fed raising interest rates doesn’t mean they are directly adjusting mortgage loan interest rates, but investor reaction to the Fed’s actions can and likely will have some kind of reciprocal effect even if it’s just in the short term. At the time of this writing, 30-year fixed | more...

May 9, 2016

Mortgage Rate Trends: Moving Lower After Jobs Report

By Joe Wallace

Friday the much-anticipated Employment Situation Report had data that wasn’t as favorable as expected. That helped rates further recover some losses seen in late April, resulting in some market watchers to declare Friday’s gains as the “lowest in three years” (best execution) for some financial institutions. On Friday, 30-year fixed rate conventional mortgages were, best execution, in 3.625% territory. That’s down from a late-April range with 3.75% at the upper best execution end. FHA mortgage rates remain in a range between 3.25% and 3.5%. FHA rates tend to vary more among participating lenders, so it is a very good idea to shop around for the best rates. As always, best execution rates are not available to all borrowers or from all lenders. Your access to rates like these depends greatly | more...

April 6, 2016

Mortgage Rate Trends: Decisively Lower

By Joe Wallace

Mortgage loan interest rates moved lower on Tuesday, putting them in a position close to lows we haven’t seen in a very long time. Part of the reason for the move lower has to do with Fed statements about the state of possible interest rate hikes (very cautious about them at this time) and part of the reason has to do with anticipated economic growth numbers among other factors. The move lower is, in the eyes of some market watchers, possibly a short term drop. With 30-year fixed rate conventional mortgage loan interest rates in a best execution range between 3.625% and 3.5% (among very competitive lenders), it’s definitely not a bad time to consider a mortgage rate lock. And for FHA borrowers who haven’t committed with the lender to | more...