30 year mortgage rates just keep surprising us. Check out this article from USA today http://www.usatoday.com/story/money/business/2014/10/02/ap-average-us-30-year-mortgage-rate-at-419-percent/16585341/ It explains how average 30 year mortgage rates have dropped again from last week of about 4.2 down to 4.19. The mortgage backed securities market has had extreme highs and lows over the last 30 days as you can see by this candlestick chart of the Fannie Mae 3.5% coupon bond. The price was as high as nearly 103, fell to as low as 101.4, and now its doing its best to test those higher levels near 103 again. We’re talking about a price swing of 150 basis points!
With pricing swinging that wildly you have to plan your locking strategy accordingly. If you’re trying to do a refinance, be smart about it. Get your application in ASAP and then discuss your locking strategy. You may chose to lock your loan in immediately or w/some technical analysis from your mortgage planner you may decide to float for a bit. Don’t wait to get your application in until you think that the rates are perfect you could really miss the boat. You never know that we’ve seen the lowest rates until they go back up. Then you can reflect and say to yourself, “yep, should have locked our loan 3 days ago…” Many borrowers that waited are kicking themselves for that choice. If you still haven’t even put your application in, you’re even further behind.
So please be wise and make sure that you are working with a competent Certified Mortgage Planner that will go over a locking strategy with you and help you figure out what is best for you. For your Fast & Free Mortgage Review, contact Chris Reese, California Mortgage Hero & Certified Mortgage Planner at 916-502-1656 or inquire on line at http://www.sacramentohomeloanspecialist.com/forms/askAnExpert.html
30 Year Mortgage Rates Dip Again!
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