|30 Year FRM||4.78%||Worse by .03
|15 Year FRM||4.09%||Worse by .03
|5/1 Year ARM||3.91%||Worse by .06|
|Jumbo 30 Year FRM||5.98%||Worse by .06
Here is today's look at best mortgage rates, (which do not include discount points, origination points, or loan level risk based price adjustments) provided by Mortgage News Daily, Freddie Mac, and other sources. Note that Freddie Mac's AVERAGE rates are typically higher than BEST rates, because average rates include surcharges for risks associated with property types, down payments, and credit scores. To be eligible for BEST rates, borrowers need spotless credit (740 score or better), a sizable down payment (20-25%) or equity amount, and stable, adequate, and documentable income. In addition, the property must be located in a healthy (not declining) market and must be conventionally built.
*** LOCK ALERT *** MORTGAGE RATES STILL VERY LOW BUT INCREASING *** Mortgage interest rates are INCREASING and if you still haven't locked your interest you probably should.
Wednesday's bond and mortgage-backed securities (MBS) markets opened flat with no major economic data scheduled for release. The stock markets haven't made any major moves either and so have not driven bonds or MBS. Bond and MBS markets are nearly unchanged from yesterday's close, but are coming off yesterday's highs as traders take their profits. Lenders are revising rate sheets for worse and we will likely see an increase in this morning's mortgage rates of approximately .250 of a discount point.
If closing in the next 60 days I would LOCK my rate. Otherwise, I would FLOAT my rate. This is only an opinion--what I would do if I were closing a mortgage at this time. Your decision may depend on other factors such as the strength of your loan approval and your tolerance for risk, and must be made with those in mind.
Liz Freeman has more than a decade of mortgage lending experience. She writes about mortgage and finance issues and is a regular contributor to Mortgage News Daily.