Weekly Rate Outlook

As I have mentioned before, when there is bad economic news, mortgage interest rates tend to go down. What I did not expect was that the bad economic news would be in the mortgage industry. But true to form, the bad news drove rates down last week. Technically, the bonds broke some barriers so rates should stablize or go down this week.

But, all these rate projections are for Fannie Mae, FHA, VA and Freddie Mac loans. These loans are of good quality and are not included in the news.

If you have a loan in process and it is not in the group mentioned, close immediately. Your lender may not be able to deliver on their promices later.

Anyone with wanting to finance outside of these loan types needs to meet with a mortgage professional to discuss their options. Jumbo loans (those over $417,000) have seen rates increase as the private investors who fund those loans want a higher return.

Link to my weekly Realtor news letter:
Paul's MMG Weekly Just be aware that American Home Mortgag quit originating loans last weeks. I should have a new work home by next week.

MMM