|30 Year FRM||4.40%||Better by .02
|15 Year FRM||3.80%||Better by .01|
|5/1 Year ARM||3.60%||Better by .01|
|Jumbo 30 Year FRM||5.56%||Better by .02|
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 *** RATES IMPROVE AGAIN AS STOCKS STALL***
The stock markets failed to extend yesterday's rally and are off slightly this morning. Mortgage rates improved slightly, with costs lowering about .250% discount points on a 30-year loan. This morning's release of August's Housing Starts revealed unexpected strength in new home building. Analysts anticipated a minor increase in starts but got a whopping 10.5% jump. While this indicates economic strength, bad for interest rates, housing starts is not considered influential enough to move rates much. UPDATE: Rates drop some more after the Fed releases a statement asserting that the economic recovery remains sluggish.
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.