Mortgage Rates Fall for Week of July 6

There's good news if you're seeking new home loans and refinance mortgages this week. Rates for 30 year FRMs, 15 year FRMs, and 5 year ARMs fell slightly for the second consecutive week. Here are the numbers:

Rates for 30 year FRMs fell from an average of 5.32% last week to 5.20% this week. Mortgage rates for 15 year FRM's are below 5% at an average of 4.69%, down from 4.77% the previous week. Rates for 5 yar ARMs fell six basis points to an average of 4.82%.

Compare Mortgage Quotes

Selecting a mortgage loan is a decision you'll likely live with for several years. Rather than chasing the lowest mortgage rates, ask yourself if you can comfortably qualify for current mortgage rates. Riding the "rates roller coaster" may cost you the home you want to buy, and if rates rise, you could lose out on current rates. Getting written mortgage quotes from several lenders is useful not only for comparing mortgage rates, but also for comparing lender charges and mortgage terms. When considering mortgage quotes, it's important to take these steps:

• Read everything! Don't be tempted to gloss over mortgage quotes; the fine print can make or break a deal.
• Look at more than the lowest mortgage rates: The features of a mortgage loan determine how it will perform over the repayment term. Very low rates may get your attention, but review all terms to see if unpaid interest is added to principal, or when and how much an initially low adjustable rate can increase.
• Ask questions, and more questions: Take time to review your mortgage quotes, and ask plenty of questions of the mortgage lenders before selecting your next mortgage loan The questions you ask today may save money and prevent headaches later.

Shopping for a mortgage loan before looking at homes can help take the stress out of getting a mortgage, and allows more time for comparing quotes and negotiating with mortgage lenders.

Our live database of current mortgage rates can help you find the best mortgage rates in your area.