Mortgage Rates (4 Viewers)

[Chadstroma]

I just locked in at 5.375 , no points at WB this morning on a 30 year. close in 6 weeks.

what is WB?

Ticker for Wachovia

 

[redman]

We're refi'ing at 5.75% on a 30-year fixed 1st, maxed out at the just-under jumbo amount in CA of $417k, and we have a second at 7.6% that's also a 30-year fixed but that we'll obviously pay off through a subsequent refi, once the jumbo loans pencil out sometime in the future. This was by far the best deal we could find, and the lender is paying for appraisal and the title search (about $500 value). This about as good as it gets in CA right now.

It looks like I'm going to be able to get 5.5% on the maxed-out conforming first.

Good for you, GB. Is there a prepayment penalty on your 2nd mortgage? I think the ones we were looking at had a penalty for payoffs within 12 months.

Nope, and that goes for both, though we can't refi for at least four months - which won't be a problem anyway.

 

[Chadstroma]

We're refi'ing at 5.75% on a 30-year fixed 1st, maxed out at the just-under jumbo amount in CA of $417k, and we have a second at 7.6% that's also a 30-year fixed but that we'll obviously pay off through a subsequent refi, once the jumbo loans pencil out sometime in the future. This was by far the best deal we could find, and the lender is paying for appraisal and the title search (about $500 value). This about as good as it gets in CA right now.

It looks like I'm going to be able to get 5.5% on the maxed-out conforming first.

Good for you, GB. Is there a prepayment penalty on your 2nd mortgage? I think the ones we were looking at had a penalty for payoffs within 12 months.

Nope, and that goes for both, though we can't refi for at least four months - which won't be a problem anyway.

 

[The Hardline]

 

[AhrnCityPahnder]

I just locked in at 5.375 , no points at WB this morning on a 30 year. close in 6 weeks.

what is WB?

Wachovia

what's the bottom line cost for that refi?

 

[RedRaiders]

I just locked in at 5.375 , no points at WB this morning on a 30 year. close in 6 weeks.

what is WB?

Wachovia

what's the bottom line cost for that refi?

Not a refi - sorry, should have been clearer. Was just really happy to lock in that rate.

 

[shadyridr]

So really it was 6.125?

lol yeahit is misleading when you quote a rate after you buy it down.

It seems we need some FFA rules for posting rates.I can get 4.5 if I buy a point also.

I just locked in at 5.375 , no points at WB this morning on a 30 year. close in 6 weeks.

what is WB?

Wachovia

what's the bottom line cost for that refi?

Not a refi - sorry, should have been clearer. Was just really happy to lock in that rate.

irony?

 

[Thorn]

Just got quoted 6.00 for my 95% LTV purchase with MI rolled in. Pretty happy with that.

 

[menobrown]

I've never mentioned what I do on these boards because I thought it was not appropriate. But since so many of you seem interested in lower rates I wanted to go ahead and offer my services. I'm one of the leading on-line mortgage advertisers in the US and I offer great rates if anyone is interested. Here is my link: http://www.hsh.com/lshow/republic_state.html

I wanted to add I actually can offer lower rates than what I am advertising but I did not feel the need to advertise lower rates since I was already standing up well to the competition. For instance, depending on the state and loan amount, I can offer the 30 year fixed with no points at 5.375% despite the fact I am advertising a 5.5%. In fact, most of these rates can be offered at .125% less depending on the loan amount and state. I do loans in 46 states.

The rates I offer are for customers with good credit. I feel for the subprime borrowers but I don't entertain that business at this time.

Regarding rates. Someone mentioned earlier that the Fed rate cut was already built into the rates and that is dead on correct. The question then becomes is it going to continue? I've been doing this for 13 years and the lowest rates I've seen was the 30 year fixed at 4.875% with on points. That was in the refinance boom period of 2002-2003 and was the lowest rates have been in 40 years. Also, that rate did not last long, about a week before going to about 5-5.125%. So right now we are at 5.375%. I don't see much more room to drop before getting into historical all time low rates.

 

[prefontaine]

I am going to refinance my house (6.25 now) along with a home equity loan I have that is seven percent. I set it up with my credit union yesterday and we are just gonna float the rate for a bit to try and get a little lower. On Tuesday when I called them to start it was 5.89% for 30-no points. Yesterday it was 6. I think I am going to pay the point to get lower anyway but does anyone have any good feelings where the rates are going this week? I read that the Fed is probably gonna lop off another half at the end of January so does that mean the morgage rates will drop a bit ahead of the Fed? Any good advice would be appreciated. I am going to call the credit union at noon eastern to check todays rate. I had it in my head all along I wanted 5.75 (plus I willbring it down by paying the point), is that a realistic goal? Can you pay more than a point? Two points? Thanks

Really, when it comes to rates no one can take more than an educated guess on what rates will do. It is very hard to say on a weekly basis what rates will be like. The Fed and mortgage rates do not have a direct cause and affect so the expected rate cut by the Fed does not mean that mortgage rates will lower in anticipation or follow after. A couple of weeks ago when I was at a Wells Fargo mortgage office- it was very possible to get 5.5-5.75% on a 30 year so I would say 5.75 is realistic and yes you can pay more than a point if you want to. I would always encourage people to do a cost analysis of paying points to lower rates to figure out your break even point and the likelihood of you keeping the loan to past that point before doing so- also, another thing to keep in mind is that points are not tax deductable like interest is.

Chadastroma, I think you may be confused on this. Points are tax deductible. On a refi, you have to amortize them over the life of the loan but on a new purchase you can take it all in first year. IRS on mortgage points

 

[Thorn]

I am going to refinance my house (6.25 now) along with a home equity loan I have that is seven percent. I set it up with my credit union yesterday and we are just gonna float the rate for a bit to try and get a little lower. On Tuesday when I called them to start it was 5.89% for 30-no points. Yesterday it was 6. I think I am going to pay the point to get lower anyway but does anyone have any good feelings where the rates are going this week? I read that the Fed is probably gonna lop off another half at the end of January so does that mean the morgage rates will drop a bit ahead of the Fed? Any good advice would be appreciated. I am going to call the credit union at noon eastern to check todays rate. I had it in my head all along I wanted 5.75 (plus I willbring it down by paying the point), is that a realistic goal? Can you pay more than a point? Two points? Thanks

Really, when it comes to rates no one can take more than an educated guess on what rates will do. It is very hard to say on a weekly basis what rates will be like. The Fed and mortgage rates do not have a direct cause and affect so the expected rate cut by the Fed does not mean that mortgage rates will lower in anticipation or follow after. A couple of weeks ago when I was at a Wells Fargo mortgage office- it was very possible to get 5.5-5.75% on a 30 year so I would say 5.75 is realistic and yes you can pay more than a point if you want to. I would always encourage people to do a cost analysis of paying points to lower rates to figure out your break even point and the likelihood of you keeping the loan to past that point before doing so- also, another thing to keep in mind is that points are not tax deductable like interest is.

Chadastroma, I think you may be confused on this. Points are tax deductible. On a refi, you have to amortize them over the life of the loan but on a new purchase you can take it all in first year. IRS on mortgage points

Correct. But I'm pretty sure "mortgage broker compensation" is not deductible.

 

[Sand]

I've never mentioned what I do on these boards because I thought it was not appropriate. But since so many of you seem interested in lower rates I wanted to go ahead and offer my services. I'm one of the leading on-line mortgage advertisers in the US and I offer great rates if anyone is interested. Here is my link: http://www.hsh.com/lshow/republic_state.html

I wanted to add I actually can offer lower rates than what I am advertising but I did not feel the need to advertise lower rates since I was already standing up well to the competition. For instance, depending on the state and loan amount, I can offer the 30 year fixed with no points at 5.375% despite the fact I am advertising a 5.5%. In fact, most of these rates can be offered at .125% less depending on the loan amount and state. I do loans in 46 states.

The rates I offer are for customers with good credit. I feel for the subprime borrowers but I don't entertain that business at this time.

Regarding rates. Someone mentioned earlier that the Fed rate cut was already built into the rates and that is dead on correct. The question then becomes is it going to continue? I've been doing this for 13 years and the lowest rates I've seen was the 30 year fixed at 4.875% with on points. That was in the refinance boom period of 2002-2003 and was the lowest rates have been in 40 years. Also, that rate did not last long, about a week before going to about 5-5.125%. So right now we are at 5.375%. I don't see much more room to drop before getting into historical all time low rates.

Just goes to show that whatever the world does the FFA can do it better.

 

[RedRaiders]

So really it was 6.125?

lol yeahit is misleading when you quote a rate after you buy it down.

It seems we need some FFA rules for posting rates.I can get 4.5 if I buy a point also.

I just locked in at 5.375 , no points at WB this morning on a 30 year. close in 6 weeks.

what is WB?

Wachovia

what's the bottom line cost for that refi?

Not a refi - sorry, should have been clearer. Was just really happy to lock in that rate.

irony?

Only if I would have bought points.

 

[dickey moe]

I am going to refinance my house (6.25 now) along with a home equity loan I have that is seven percent. I set it up with my credit union yesterday and we are just gonna float the rate for a bit to try and get a little lower. On Tuesday when I called them to start it was 5.89% for 30-no points. Yesterday it was 6. I think I am going to pay the point to get lower anyway but does anyone have any good feelings where the rates are going this week? I read that the Fed is probably gonna lop off another half at the end of January so does that mean the morgage rates will drop a bit ahead of the Fed? Any good advice would be appreciated. I am going to call the credit union at noon eastern to check todays rate. I had it in my head all along I wanted 5.75 (plus I willbring it down by paying the point), is that a realistic goal? Can you pay more than a point? Two points? Thanks

Really, when it comes to rates no one can take more than an educated guess on what rates will do. It is very hard to say on a weekly basis what rates will be like. The Fed and mortgage rates do not have a direct cause and affect so the expected rate cut by the Fed does not mean that mortgage rates will lower in anticipation or follow after. A couple of weeks ago when I was at a Wells Fargo mortgage office- it was very possible to get 5.5-5.75% on a 30 year so I would say 5.75 is realistic and yes you can pay more than a point if you want to. I would always encourage people to do a cost analysis of paying points to lower rates to figure out your break even point and the likelihood of you keeping the loan to past that point before doing so- also, another thing to keep in mind is that points are not tax deductable like interest is.

Chadastroma, I think you may be confused on this. Points are tax deductible. On a refi, you have to amortize them over the life of the loan but on a new purchase you can take it all in first year. IRS on mortgage points

This is correct -- points are deductible.

 

[dickey moe]

I've never mentioned what I do on these boards because I thought it was not appropriate. But since so many of you seem interested in lower rates I wanted to go ahead and offer my services. I'm one of the leading on-line mortgage advertisers in the US and I offer great rates if anyone is interested. Here is my link: http://www.hsh.com/lshow/republic_state.html

I wanted to add I actually can offer lower rates than what I am advertising but I did not feel the need to advertise lower rates since I was already standing up well to the competition. For instance, depending on the state and loan amount, I can offer the 30 year fixed with no points at 5.375% despite the fact I am advertising a 5.5%. In fact, most of these rates can be offered at .125% less depending on the loan amount and state. I do loans in 46 states.

The rates I offer are for customers with good credit. I feel for the subprime borrowers but I don't entertain that business at this time.

Regarding rates. Someone mentioned earlier that the Fed rate cut was already built into the rates and that is dead on correct. The question then becomes is it going to continue? I've been doing this for 13 years and the lowest rates I've seen was the 30 year fixed at 4.875% with on points. That was in the refinance boom period of 2002-2003 and was the lowest rates have been in 40 years. Also, that rate did not last long, about a week before going to about 5-5.125%. So right now we are at 5.375%. I don't see much more room to drop before getting into historical all time low rates.

Sweet -- PM sent.

 

[CrossEyed]

With the way people move around today, why would you want to pay points?

 

[PIK95]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

 

[CrossEyed]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

 

[TheWick]

With the way people move around today, why would you want to pay points?

Probably if your not going to move in the amount of time it takes to make up the difference in the points you paid in interest savings.

 

[CrossEyed]

With the way people move around today, why would you want to pay points?

Probably if your not going to move in the amount of time it takes to make up the difference in the points you paid in interest savings.

Doesn't that usually take 7 years or more? Who really knows what's going to happen in 7 years?

 

[PIK95]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

 

[menobrown]

With the way people move around today, why would you want to pay points?

Probably if your not going to move in the amount of time it takes to make up the difference in the points you paid in interest savings.

Doesn't that usually take 7 years or more? Who really knows what's going to happen in 7 years?

On most fixed rate loans a point will get you a .25% better rate and I usually see the time frame to break even around 5 years. So if you have reason to believe to you will not be in that home in 5 years than don't pay a point. If you think you will be in the home in enough time to make up the point you can consider the point but it's still not a given that it's a good idea and I'd base that decision on the current rates and what you feel the chances are that even if you stay in the home would you refinance. When rates are low, as they are now, than it makes sense to pay a point(s) if you are fairly certain you will remain in the home because chances are you will never refinance this rate. If rates were in the mid 6's I'd pass on the point no matter.

 

[menobrown]

I've never mentioned what I do on these boards because I thought it was not appropriate. But since so many of you seem interested in lower rates I wanted to go ahead and offer my services. I'm one of the leading on-line mortgage advertisers in the US and I offer great rates if anyone is interested. Here is my link: http://www.hsh.com/lshow/republic_state.html

I wanted to add I actually can offer lower rates than what I am advertising but I did not feel the need to advertise lower rates since I was already standing up well to the competition. For instance, depending on the state and loan amount, I can offer the 30 year fixed with no points at 5.375% despite the fact I am advertising a 5.5%. In fact, most of these rates can be offered at .125% less depending on the loan amount and state. I do loans in 46 states.

The rates I offer are for customers with good credit. I feel for the subprime borrowers but I don't entertain that business at this time.

Regarding rates. Someone mentioned earlier that the Fed rate cut was already built into the rates and that is dead on correct. The question then becomes is it going to continue? I've been doing this for 13 years and the lowest rates I've seen was the 30 year fixed at 4.875% with on points. That was in the refinance boom period of 2002-2003 and was the lowest rates have been in 40 years. Also, that rate did not last long, about a week before going to about 5-5.125%. So right now we are at 5.375%. I don't see much more room to drop before getting into historical all time low rates.

Sweet -- PM sent.

I sent you an e-mail but it bounced back.

 

[CrossEyed]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

You've never seen any of the Carlton Sheets buy real estate with no money down infomercials?

 

[Abraham]

I have MenoBrown on the case for the new HERDish Mansion.

 

[PIK95]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

You've never seen any of the Carlton Sheets buy real estate with no money down infomercials?

I don't watch infomercials. I am curious why my credit unions rate is 6% when Menobrows is 5.5%. That seems like a huge difference IMO.

 

[CrossEyed]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

You've never seen any of the Carlton Sheets buy real estate with no money down infomercials?

I don't watch infomercials. I am curious why my credit unions rate is 6% when Menobrows is 5.5%. That seems like a huge difference IMO.

Countrywide is 5.625. I close next Friday.

 

[The_Man]

Sounds like there is a re-fi boomlet going on now (me included; settling on a 5.5 fixed 30-year tonight, had to pay a point to buy down the rate, but no closing costs).

That's interesting, since so much of the talk you here is about the impending mortgage meltdown. I'm curious -- do the people doing re-fis right now generally have good/great credit? Are you getting out of an ARM, or just replacing an existing 30-year fixed?

The impression I'm getting is that people with good mortgages and solid financial pictures are taking advantage of this situation, while people with ARMS and/or bad credit histories are unable to benefit as much.

 

[menobrown]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. BTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

You've never seen any of the Carlton Sheets buy real estate with no money down infomercials?

I don't watch infomercials. I am curious why my credit unions rate is 6% when Menobrows is 5.5%. That seems like a huge difference IMO.

It is a big difference and I suppose if you called your credit union to ask why they would insinuate I am lying or give you a spill about how you can't trust a lender who advertises on-line. Getting customers to trust me is a big obstacle to overcome as I'm damned if I offer to good of a deal as it looks suspicious and if I offer an unattractive option I risk losing the business. I've done things like join the BBB so customers can look me up but I know I lose business due to trust.For what it's worth I think most people know we are compensated more when we deliver a higher interest rate. Rates do vary by state, loan purpose, credit score, income documentation and few other factors but I ran what I call a cookie cutter loan scenario with 20% down, purchase, 700 score, in the state of Texas and here is what the different in rates pay me.5.5%- This rate pays me 1.291 points on a 30 day lock. Again this is Texas and it does vary by state. In Cali this only pays .887.6%- This pays me 2.636 in Texas. So on a $200,000 loan I would generate $2582 in revenue on a 5.5% rate and $5,272 on a 6% rate.

 

[menobrown]

Sounds like there is a re-fi boomlet going on now (me included; settling on a 5.5 fixed 30-year tonight, had to pay a point to buy down the rate, but no closing costs).That's interesting, since so much of the talk you here is about the impending mortgage meltdown. I'm curious -- do the people doing re-fis right now generally have good/great credit? Are you getting out of an ARM, or just replacing an existing 30-year fixed?The impression I'm getting is that people with good mortgages and solid financial pictures are taking advantage of this situation, while people with ARMS and/or bad credit histories are unable to benefit as much.

It's been a refinance boom the last few weeks for sure. Most of my business has been coming from customers with ARM's which are either re-setting or they simply want to lock into a good 30 year rate when they can.The mortgage meltdown is very real which is why rates are so low. It's tough as hell to get a loan right now with bad credit. I rarely do a loan for anyone under 700 scores. But you are right, if your credit is strong it's a good time right now to take advantage.

 

[Chadstroma]

I am going to refinance my house (6.25 now) along with a home equity loan I have that is seven percent. I set it up with my credit union yesterday and we are just gonna float the rate for a bit to try and get a little lower. On Tuesday when I called them to start it was 5.89% for 30-no points. Yesterday it was 6. I think I am going to pay the point to get lower anyway but does anyone have any good feelings where the rates are going this week? I read that the Fed is probably gonna lop off another half at the end of January so does that mean the morgage rates will drop a bit ahead of the Fed? Any good advice would be appreciated. I am going to call the credit union at noon eastern to check todays rate. I had it in my head all along I wanted 5.75 (plus I willbring it down by paying the point), is that a realistic goal? Can you pay more than a point? Two points? Thanks

Really, when it comes to rates no one can take more than an educated guess on what rates will do. It is very hard to say on a weekly basis what rates will be like. The Fed and mortgage rates do not have a direct cause and affect so the expected rate cut by the Fed does not mean that mortgage rates will lower in anticipation or follow after. A couple of weeks ago when I was at a Wells Fargo mortgage office- it was very possible to get 5.5-5.75% on a 30 year so I would say 5.75 is realistic and yes you can pay more than a point if you want to. I would always encourage people to do a cost analysis of paying points to lower rates to figure out your break even point and the likelihood of you keeping the loan to past that point before doing so- also, another thing to keep in mind is that points are not tax deductable like interest is.

Chadastroma, I think you may be confused on this. Points are tax deductible. On a refi, you have to amortize them over the life of the loan but on a new purchase you can take it all in first year. IRS on mortgage points

You are right. I confused myself with closing costs.

 

[CrossEyed]

Sounds like there is a re-fi boomlet going on now (me included; settling on a 5.5 fixed 30-year tonight, had to pay a point to buy down the rate, but no closing costs).That's interesting, since so much of the talk you here is about the impending mortgage meltdown. I'm curious -- do the people doing re-fis right now generally have good/great credit? Are you getting out of an ARM, or just replacing an existing 30-year fixed?The impression I'm getting is that people with good mortgages and solid financial pictures are taking advantage of this situation, while people with ARMS and/or bad credit histories are unable to benefit as much.

Going from a 30 yr fixed at 6.625 to a 30 year fixed at 5.625, rolling closing costs into the loan. Saving $115/month Excellent credit.

 

[jazz12pg]

I've never mentioned what I do on these boards because I thought it was not appropriate. But since so many of you seem interested in lower rates I wanted to go ahead and offer my services. I'm one of the leading on-line mortgage advertisers in the US and I offer great rates if anyone is interested. Here is my link: http://www.hsh.com/lshow/republic_state.html

I wanted to add I actually can offer lower rates than what I am advertising but I did not feel the need to advertise lower rates since I was already standing up well to the competition. For instance, depending on the state and loan amount, I can offer the 30 year fixed with no points at 5.375% despite the fact I am advertising a 5.5%. In fact, most of these rates can be offered at .125% less depending on the loan amount and state. I do loans in 46 states.

The rates I offer are for customers with good credit. I feel for the subprime borrowers but I don't entertain that business at this time.

Regarding rates. Someone mentioned earlier that the Fed rate cut was already built into the rates and that is dead on correct. The question then becomes is it going to continue? I've been doing this for 13 years and the lowest rates I've seen was the 30 year fixed at 4.875% with on points. That was in the refinance boom period of 2002-2003 and was the lowest rates have been in 40 years. Also, that rate did not last long, about a week before going to about 5-5.125%. So right now we are at 5.375%. I don't see much more room to drop before getting into historical all time low rates.

Which 4 states don't you do? I'm betting I'm in one of the 4, none of these good deals I find advertised ever apply to my state. My current mortgage company (Wells Fargo) has all kinds of easy re-fi deals for current loan holders...except in my state!

 

[PIK95]

With the way people move around today, why would you want to pay points?

I don't move I just buy more houses. :XBTW my credit union said the rates are the same today. 6% on a 30 with no points. I will have to pay like 3 grand closing costs also.

Carlton Sheets?

I actually have no idea who that is. Is he the cousin on Fresh prince?

You've never seen any of the Carlton Sheets buy real estate with no money down infomercials?

I don't watch infomercials. I am curious why my credit unions rate is 6% when Menobrows is 5.5%. That seems like a huge difference IMO.

It is a big difference and I suppose if you called your credit union to ask why they would insinuate I am lying or give you a spill about how you can't trust a lender who advertises on-line. Getting customers to trust me is a big obstacle to overcome as I'm damned if I offer to good of a deal as it looks suspicious and if I offer an unattractive option I risk losing the business. I've done things like join the BBB so customers can look me up but I know I lose business due to trust.For what it's worth I think most people know we are compensated more when we deliver a higher interest rate. Rates do vary by state, loan purpose, credit score, income documentation and few other factors but I ran what I call a cookie cutter loan scenario with 20% down, purchase, 700 score, in the state of Texas and here is what the different in rates pay me.5.5%- This rate pays me 1.291 points on a 30 day lock. Again this is Texas and it does vary by state. In Cali this only pays .887.6%- This pays me 2.636 in Texas. So on a $200,000 loan I would generate $2582 in revenue on a 5.5% rate and $5,272 on a 6% rate.

I wasn't calling you into question, I am just curious what the reasons are that my credit union seems to be higher than most. I have credit well over 700 and my wife does also and we are in very good shape all around.

 

[pgreenfan]

How long does it take for the fed rate cut to show up in rates?

 

[tommyGunZ]

How long does it take for the fed rate cut to show up in rates?

many analysts think this cut was already priced in. at least .50 of it.speculation on more cuts at the 1/30 meeting could affect rates however.

 

[pgreenfan]

How long does it take for the fed rate cut to show up in rates?

many analysts think this cut was already priced in. at least .50 of it.speculation on more cuts at the 1/30 meeting could affect rates however.

Thanks I am completely ignorant on mortgage rates.

 

[stbugs]

How long does it take for the fed rate cut to show up in rates?

many analysts think this cut was already priced in. at least .50 of it.speculation on more cuts at the 1/30 meeting could affect rates however.

Thanks I am completely ignorant on mortgage rates.

Also, the longer the mortgage span is (i.e. 15 yr, 30 yr fixed) the less the impact of the short term rate cuts. It does have somewhat of an impact, but it is more chicken/egg since rates get cut during bad economic periods when people flee to safer bonds. Long term bond rates have a much bigger impact on long term mortgage rates.

 

[shadyridr]

Just talked to my mortgage guy this morning. He thinks I can roll my mortgage and my HELOC into one mortgage and get a rate of 5.625 lowering my payment $122 a month. And since this is the same bank my closing costs will be less than if I went to another bank. Not only that but he said since the markets have taken such a huge hit this morning theres a chance the rate he quoted me could be even lower. It depends if my house appraises at 370000 though to roll both loans into one. Im pretty excited about this.

 

[CrossEyed]

How long does it take for the fed rate cut to show up in rates?

many analysts think this cut was already priced in. at least .50 of it.speculation on more cuts at the 1/30 meeting could affect rates however.

Thanks I am completely ignorant on mortgage rates.

Also, the longer the mortgage span is (i.e. 15 yr, 30 yr fixed) the less the impact of the short term rate cuts. It does have somewhat of an impact, but it is more chicken/egg since rates get cut during bad economic periods when people flee to safer bonds. Long term bond rates have a much bigger impact on long term mortgage rates.

Yeah, there are a lot of factors that come into play regarding mortgage rates. The simplest thing to do is watch the 10-year Treasury. Mortgage rates tend to move with the yield. They don't move just because the Fed cuts rates.

 

[towney]

16 year owner of a mortgage brokerage business here....If your getting quoted higher then 5.375%-5.5% no pts, you should be looking at other places.

Also something to be aware of is that there are many cities that are in what are considered a "distressed market" and that could have a bearing on rates and down payments. Best advise I can give is to shop at least 3 mortgage companies (not just banks) and compare Good Faith Estimates. Good luck..

 

[Maroney=Speed]

I can currently refinance for 5.5% from my current 6.5%. Will they continue to drop, go up or stay steady? It just dropped .125% from yesterdays rate.

Hope you listen to me?Lock in now.

 

[CYP]

I can currently refinance for 5.5% from my current 6.5%. Will they continue to drop, go up or stay steady? It just dropped .125% from yesterdays rate.

Hope you listen to me?Lock in now.

Hey, how did you manage to even get married?

 

[Maroney=Speed]

I can currently refinance for 5.5% from my current 6.5%. Will they continue to drop, go up or stay steady? It just dropped .125% from yesterdays rate.

Hope you listen to me?Lock in now.

Hey, how did you manage to even get married?

I guess having money and a car would have something to do with it.Is there anything else that I can do for you today?

 

[StrikeS2k]

I can currently refinance for 5.5% from my current 6.5%. Will they continue to drop, go up or stay steady? It just dropped .125% from yesterdays rate.

Hope you listen to me?Lock in now. :(

Hey, how did you manage to even get married?

I guess having money and a car would have something to do with it.Is there anything else that I can do for you today?

You have a car?

 

[Maroney=Speed]

I can currently refinance for 5.5% from my current 6.5%. Will they continue to drop, go up or stay steady? It just dropped .125% from yesterdays rate.

Hope you listen to me?Lock in now.

Hey, how did you manage to even get married?

I guess having money and a car would have something to do with it.Is there anything else that I can do for you today?

You have a car?

OK, you caught me, I don't have money either. But I do have a pickup truck.

 

[Maroney=Speed]

Back to topic.

This is now a great time to lock in.

I would do 15 year Interest only.

Use the extra money to buy: Stocks,Mutual Funds or invest in something more than a CD.

Good Luck.

 

[StrikeS2k]

Back to topic.

This is now a great time to lock in.

I would do 15 year Interest only.

Use the extra money to buy: Stocks,Mutual Funds or invest in something more than a CD.

Good Luck.

Isn't this what screwed a lot of people in the first place?

 

[Maroney=Speed]

Back to topic.

This is now a great time to lock in.

I would do 15 year Interest only.

Use the extra money to buy: Stocks,Mutual Funds or invest in something more than a CD.

Good Luck.

Isn't this what screwed a lot of people in the first place?

Yep, why change now? Go all in I say.So I guess go with the 30 year fix and save(put) your money in a bank.

See where that gets you in 30 years.

Good Luck, because you will need it.

 

[PIK95]

Back to topic.

This is now a great time to lock in.

I would do 15 year Interest only.

Use the extra money to buy: Stocks,Mutual Funds or invest in something more than a CD.

Good Luck.

Isn't this what screwed a lot of people in the first place?

Yep, why change now? Go all in I say.So I guess go with the 30 year fix and save(put) your money in a bank.

See where that gets you in 30 years.

Good Luck, because you will need it.

I am going to go with the 30yr to free up a little cash to prepare for buying another house later in the year. Now if people would just pay rent on time.....