Mortgage rates fall for week of October 4, 2010
Average combined mortgage rates fell again last week. With buyers taking a "wait-and-see" attitude due to concerns over unemployment and the general economy, those prepared to buy or refinance can find excellent financing opportunities.
Mortgage rates fell further this week. HSH Associates reports that average combined rates for a 30-year FRM fell by 4 basis points to 4.66 percent, while rates for a 15-year FRM decreased by 7 basis points to 4.11 percent. Home buyers and homeowners seeking a low introductory rate can take advantage of a 5/1 ARM loan offering an initial rate of 3.58 percent, down 3 points from last week's 3.61 percent.
Mortgage rates and foreclosure woes: Understanding the connection
Property values throughout the U.S. are suffering from the glut of foreclosed homes offered at rock-bottom prices, as well as the blighted neighborhoods resulting from mass foreclosures. Delays due to problems with foreclosures in process could complicate the ability of mortgage lenders to complete foreclosures, renovate foreclosed homes and sell these properties.
An investigation has led to three major mortgage lenders postponing foreclosures in process due to concerns about proper legal filings in states requiring court approval of foreclosure proceedings. Although struggling homeowners may receive a temporary reprieve from losing their homes to foreclosure, postponing foreclosure of vacant properties can cause problems when title remains with absentee owners.
Mortgage rates: Doing what's right for you
Delaying a home purchase or refinancing while waiting to see if mortgage rates fall further is one option, but if you're financially prepared to buy or refinance now, and can gain the benefits of owning a home or refinancing to today's best mortgage rates, there may be little justification for sitting on the fence. Mortgage rates can change quickly. Taking advantage of current low mortgage rates may be a sound financial decision for you, whether you are improving your cash flow, paying off your mortgage sooner, or consolidating high cost consumer debt.
Our live database of current mortgage rates can help you find the best mortgage rates in your area.
