John's Florida Real Estate Blog

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Freddie Mac: Mortgage Interest Rates Creeping Up Toward 5% Again

Today, 12/17/09, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 4.94% (4.94% in the southeast), up from 4.81% a week ago. The average interest rate for 15 year fixed-rate mortgages was 4.38%, up from 4.32% last week. A year ago the 30 year rate was 5.19%. Just a few weeks ago they were at 4.71%. How many of you took advantage of that low rate???

Interest rates on bonds went up this past week and mortgage interest rates did the same, just like they always do. Retail sales in November went up, as did industrial production. Perhaps even more signs that we are recovering little-by-little?

Interest rates on fixed-rate loans have stayed under the 5% for seven weeks now. Not too shabby for those who took the opportunity to buy new homes or to refinance. Even better if they got to use the available tax credit. I had a couple who just bought one of my large mobile homes and they got a 5.1% interest rate on their mortgage. That is almost unheard of for a mobile home mortgage loan!

Nearly 3 out of every 4 mortgage loan applications during the first 2 weeks of December were for refinancing. Not long ago we thought that 6% loans were low. Now people are using the even more incredible rates that are now available to lower their payments even more. Good news for buyers and for current homeowners alike.

Do keep in mind that we are a very large country. So data that comes out for the entire nation, may have little or no relevance for your particular area. In the end, it is best if you speak with a local REALTOR or financing expert to see what the situation is for your part of the United States. Florida is not Michigan, nor is Maine the same as California. Market conditions can be very different from place-to-place. Also, your own credit history, the property you want to buy, etc. will effect your specific loan options and interest rates. Your mortgage broker or bank loan officer can give you more specific information.

If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.

If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.

I would also be happy to assist you in any way that I can. Just call me at: 813-783-4444 or e-mail me at: jelwell1@tampabay.rr.com  You are also welcome at my webpage:  www.jelwell.century21bnr.com

John Elwell - REALTOR

CENTURY 21

Bill Nye Realty, Inc.

813-783-4444

Licensed in Florida

 

Comment balloon 0 commentsJohn Elwell • December 17 2009 06:02PM

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