Today, 10/6/2011, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 3.94%, down from 4.01% last week. The average interest rate for 15 year fixed-rate mortgages was 3.26%, slightly down from 3.28% last week. A year ago the 30 year rate was 4.27%. Last week I said that "The big question is, will rates finally dip below the 4% mark in the next week or two??" I guess we know the answer now. THEY WILL AND THEY DID!
These rates have never been seen before, and I doubt that we will see them in the future when the market stabilizes once again. How many of you will be able to take advantage of this opportunity that will save you thousands in the years to come? A lot of you, I hope!
For the first time in history rates for 30 year fixed-rate loans dropped below the 4% point. This was on the tail of a large drop for Treasury Bills. Everyone is worried about the threat of a "global recession". Of course, the steps that some of our lawmakers in Congress are failing to take are not helping things a bit. Sometimes you wonder if we don't have a lot of "Neros" up there fiddling while Rome burns. Often the worse thing to do is nothing. And I think that this is one of those times. No wonder Congress's approval rating is hovering around 15%! Shame on them!
In other news, pending home sales fell for the second month in a row nationwide in August 2011. Some of this decline was attributed to Hurricane Irene which battered the northeast. That kind of makes some sense since August is one of the busier months for home sales in the north. Here in Florida, winter is often our busiest time. And luckily, we had NO hurricanes so far to scare anyone.
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.
I would also be happy to assist you in any way that I can. Just call JOHN ELWELL - REALTOR at CENTURY 21 Bill Nye Realty, Inc. : 813-783-4444 or e-mail me at: email@example.com You are also welcome at my webpage: www.jelwell.century21bnr.com Licensed in Florida.
John Elwell - REALTOR
Bill Nye Realty, Inc.
Licensed in Florida