30-year mortgage at lowest rate since 1971
Published August 13, 2010 | 
NEW YORK (CNNMoney.com) — Mortgage rates continued to decline this week, plunging to the lowest level in decades, according to surveys from Freddie Mac and Bankrate.
Freddie Mac’s weekly report said the 30-year fixed rate slipped to 4.44% for the week ended Thursday, the lowest since the government-backed lender began tracking the rate in 1971. Last week’s rates stood at 4.49%, and a year ago it was at 5.29%.
The 15-year fixed rate fell to 3.92% this week, the lowest since Freddie Mac began tracking it 1991, down from 3.95% last week and from 4.68% a year ago.
Adjustable-rate mortgages also declined, with the 5-year rate falling to 3.56% this week, the lowest since 2005 when the lender began tracking it.
Mortgage tracker Bankrate.com, which surveys large lenders across the country, said the average 30-year fixed loan sank to a record low for the fourth consecutive week, falling to 4.57% from 4.66% the previous week.
The 15-year fixed rate, which is a popular option for refinancing, also fell to the lowest level in the history of Bankrate’s 25-year old survey, dipping to 4.06%, from 4.11% the week before.
While the 1-year adjustable-rate mortgage held steady at 4.8% for a fourth week, the 5-year adjustable rate mortgage dropped to a record low of 3.92% from 3.95% the previous week.
“Low rates are helping to heal many battered local housing markets by increasing home-purchase activity, said Frank Nothaft, chief economist at Freddie Mac.
Mortgage rate applications inched up a modest 0.6% during the week, according to the Mortgage Bankers Association. Applications for purchase rose 0.3% while refinance applications increased 0.6%
Mortgage rates have been heading south for several months now
Published August 13, 2010 | Mortgage rates have been heading south for several months now. This week, they have hit another historic low. As mentioned on NPR, the average rate for 30-year fixed loans was 4.54%; this is the lowest rate since 1971, when Freddie Mac began tracking the rates.
Getting a loan, though, is no longer an easy feat. However, with these historic low rates, it may make sense for some underwater homeowners to pay in full and trade up, if the cash is available. The Wall Street Journal profiled several homeowners who have thrown more money into their real estate holdings, despite the uncertain times. Some underwater homeowners are selling their home at a loss and then buying a newer or bigger home. With mortgage rates at their lowest in years, the monthly payment on the new house can be comparable or slightly more than the monthly bill for the underwater mortgage
How to Get a Hard Money Loan
Published June 30, 2010 | So, you just got that great bank-owned property under contract and now you need a loan to buy, fix and flip. You went to three hard money lenders and they turned you down. Why? Because you STINK at selling your deal. That’s right,
Start by getting a binder from Office Depot, with a set of tabs you can print on. Mark the tabs and include the following information into these sections:
- About Me
- This section should contain a FNMA 1003 loan application, a copy of your credit report, a copy of your driver’s license and a brief resume of your experience. If you have no experience, then at least put a list of books and seminars you’ve been through. A list of references would help, too.
- Purchase Contract
- A copy of the purchase contract with addendums should go here.
- Appraisal
- Ideally an appraisal, but at least a real estate broker BPO (real estate broker’s estimated value of the property) should go here.
- Insurance Binder
- A copy of a commitment to insure from your insurance provider goes here.
- Title Commitment
- A copy of the title commitment should go here.
- Photos
- Detailed photos in and outside of the property, IN COLOR.
- Inspection
- Have a professional inspection done of the property and put this report here.
- Repair Estimate
- A repair estimate from a LICENSED general contract (copy of his license, too) should go here.
- Numbers
- Insert a spreadsheet of the breakdown of the numbers. Include your purchase costs, closing costs, holding costs, repairs, realtor fees, etc.
- Timeline
- A diagram of the outline of your construction project should go here.
4.25% 30-Yr Fixed Mortgage Rate Available to Well-Qualified Consumers
Published June 30, 2010 | Never before have mortgage rates been this low. 30-yr fixed mortgage rates are at 4.25% for well-qualified consumers paying a standard .07 to 1 point origination fee shows FreeRateUpdate.com research of wholesale lenders’ rate sheets for brokers. 15-yr fixed mortgage rates, also at a record low, are at 3.75%.
A $250,000 30-year fixed mortgage at an interest rate of 4.25% has a monthly principal and interest payment of just $1,229.85 per month.
FHA mortgage rates today are nearly identical to those of conforming mortgages. Today’s FHA 30-yr fixed rate is also 4.25%. That being said, MI and other FHA fees make the APR (closing costs) higher on an FHA loan, even with the same note rate.
Today’s jumbo 30-yr fixed rate remains at 5.25%. Jumbo mortgage rates are also at a record low.
Wells Fargo is advertising a conventional 30-yr fixed-rate of 4.625% today, with an APR of 4.812%. (source: Wells Fargo Website)
Mortgage-backed securities prices, which drive mortgage rates in the opposite direction, were up significantly yesterday, helping to stabilize mortgage interest rates at their current record low. It’s possible we could see even lower rates as the week goes on.
by Ed Ferrara
http://realtytimes.com/rtpages/20100630_rateupdate.htm
Mortgage Interest Rates Fall Again
Published May 25, 2010 | The housing industry has been bracing for interest rates to go back up to 6 percent this year, but instead rates are falling to as low as 4.5%. Because of the economic turmoil in Europe, international money is flowing into the US, allowing interest rates to fall. If your interest rate is over 5.5%, you might want to consider refinancing or purchasing a new home.