Today, 4/21/2011, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 4.80%, down from 4.91% a week ago. The average interest rate for 15 year fixed-rate mortgages was 4.02%, down from 4.13% last week. A year ago the 30 year rate was 5.07%.
Since inflation has failed so surface in a big way, mortgage interest rates remain low. Freddie Mac said that the "core consumer price index" only rose 0.1% in March. Forecasts had predicted that it would be more. I am surprised since gas as gone up so much.
The real estate market is still having a hard time in some areas. However, as you noted in my recent posts, the sales of existing homes has increased, both in Florida and nationwide. This helps to eat into our current inventory. While there is a large surplus, how much pressure can there be to have prices increase? Not much.
I am still quite busy here in Zephyrhills, Florida. I just closed on a home in Lake Bernadette, and have two more homes scheduled to close before the end of April. So it has been a very busy month. And May promises to be equally active. I already have two deals that will get closed just after the start of next month. I can only hope that my "hot streak" continues.
Do keep in mind that we are a very large country. So figures that come 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.
John Elwell - REALTOR
Bill Nye Realty, Inc.
Licensed in Florida