Today, 10/13/2011, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 4.12%, up from 3.94% last week. The average interest rate for 15 year fixed-rate mortgages was 3.37%, up from 3.26% last week. A year ago the 30 year rate was 4.19%.
I hope that many of you were able to take advantage of last week's incredible rates. How great it would be to lock in that tiny amount for 30 years! Talk about bargains. Then add in the fact that homes seemingly have "after Christmas sale" prices. Rates and prices are still low though, and that still makes refinancing loans and buying a home a very smart move for many.
Freddie Mac's spokesperson explained this week's upward leap by saying, "An employment report that was better than market expectations helped to lift long-term Treasury bond yields and mortgage rates as well. The economy added 103,000 workers in September, aided by the return of striking Verizon workers. In addition, revisions to July and August figures added a total of 99,000 jobs to payrolls. However, these job gains are still not large enough to bring down the current unemployment rate of 9.1 percent."
I always find it amusing how bad economic news drops the interest rates and good news makes them go up. Guess it was a good thing that I majored in Education and School Administration and not Economics!
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: firstname.lastname@example.org You are also welcome at my webpage: www.jelwell.century21bnr.com Licensed in Florida.
John Elwell - REALTOR
Bill Nye Realty, Inc.
Licensed in Florida