The Jobs Report was released this morning with better figures than anticipated (94,000 vs 70,000). This is exactly why I was harping all week on this blog to lock in to take advantage of the lowest conforming fixed rates in two years. The next major influence on mortgage bonds will be Tuesday's FOMC meeting...will the Fed cut rates by 0.25 or 0.50? Remember, this does not directly lower mortgage interest rates; mortgage interest rates are based on mortgage backed securities (bonds). How the Traders react to the Feds cut is what will influence mortgage interest rates on December 11. Today's conforming mortgage rates are still very attractive and, as always, I recommend locking if you have a transaction closing soon. The change in rate from last Friday's rate posting is in parenthesis. Conforming fixed is up around 0.25% in rate from yesterday; jumbo (non-conforming) rates over improved by 0.125% over last week.
Conforming Mortgage Rates (loan amounts up to $417,000 for 1-unit properties). Conforming rate quote below based on owner occupied, "full doc" with minimum credit scores of 680 with an 80% loan to value or lower and a loan amount of $400,000. Rates quoted are priced based on a 45 day lock with 1 point and there are no prepayment penalties on any of the rates quoted below.
30 Year Fixed: 5.875% (APR 6.011%). Payment per $1000 = $5.92. (0.25% increase)
30 Year Fixed with 10 Year Interest Only: 6.250% (APR 6.386%). Payment per $1000 = $5.10. (0.25% increase)
40 Year Fixed: 6.250% (APR 6.388%). Payment per $1000 = $5.68. (0.125% increase)
5/1 ARM (2/2/6 caps): 5.625% (APR 7.065%). Payment per $1000 = $5.76. (same as last week)
5/1 ARM 10 Year Interest Only Payments: 5.750% (APR 7.148%). Payment per $1000 = $4.79. (same as last week)
FHA/VA 30 Year Fixed: 6.125% (APR 6.779%). Payment per $1000 = $6.08. (not including MI for FHA). (0.125% increase)
JUMBO (Non-Conforming) Rates. Pricing is based on the same criteria above, with the exception that the loan amount is $417,001-$650,000 (20% down).
30 Year Fixed: 6.625% (APR 6.775%). Payment per $1000 = $6.40. (0.125% improvement)
30 Year Fixed with 10 Year Interest Only Payments: 6.750% (APR 6.901%). Payment per $1000 = $5.63. (0.125% improvement)
5/1 ARM: 6.1250% (APR 7.254%). Payment per $1000 = $6.08. (0.125% improvement)
5/1 ARM Interest Only: 6.125% (APR 7.278%). Payment per $1000 = $5.10. (0.125% improvement)
Please do not select your Mortgage Professional by interest rates alone and do not shop rates by APR. This is just a small sample available of rates and products. Rates are as of Friday, December 7, 2007 at 8:00 a.m. and may change at any time. Available programs may change at anytime as well. This is not a guarantee nor is it a commitment of interest rate. For your personal rate quote or for loan amounts over $650,000, please contact me.
