Mortgage Interest Rates on a Historic Day

This week is one for the record books.  We've had huge swings in the stock market and mortgage rates have also been on a roller coaster.  This morning, we've had three major announcements from the government that are impacting financial markets:

• Treasury Secretary Hank Paulson announced that the US government will temporarily guarantee money market funds.  Click here to read Paulson's statement.
• The Federal Reserve is taking action to buy bad mortgage debt which will restore much needed liquidity.
• The SEC has placed a ban on the short selling certain financial stocks.

These actions are causing a huge rally with stocks, causing bonds to fall.  Mortgage interest rates are slightly higher than last week--at this moment. 

I will be posting rates this afternoon at Rain City Guide.  I purposely post rates later at RCG since rates often change during the day.  Once I post later this afternoon, I'll provide a link here.  Update: 12:15 mortgage rates have improved slightly.

Conforming Mortgage Rates (loan amounts up to $417,000 for 1-unit properties).  The conforming rate quote below is based on owner occupied, "full doc" purchase with a sales price of $500,000 and a loan amount of $400,000.  Rates are priced based on a low-mid credit score from 720-739. This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no origination or discount points (for your personal rate quote with or without points, please contact me) and there are no prepayment penalties on any of the rates quoted below. 

30 Year Fixed @ 0 Pts: 6.250% (APR 6.314) ~ Priced w/1 Pt:  5.875% (APR 6.029%). 

30 Year Fixed with 10 Year Interest Only @ 0 Pts: 6.750%  (APR 6.810%) ~ Priced @ 1 Pt:  6.375% (APR 6.520%).

15 Year Fixed @ 0 Pts: 6.000% (APR 6.101%) ~ Priced @ 1 Pt: 5.500% (APR 5.753%).

5/1 ARM priced @ 1 Pt:  5.750% (APR 7.099%)

Conforming Jumbo Rates. Pricing is based on the same criteria above (including zero points) except where the loan amount is $417,001 - $567,500 for properties in King, Snohomish or Pierce Counties.  (For other conforming-jumbo loan limits in Washington state, click here); specifically priced for a sales price of $650,000 and a $520,000 loan amount.

30 Year Fixed @ 0 Pt:  6.375% (APR 6.468%) ~ Priced @ 1 Pt: 6.000% (APR 6.248%).

30 Year Fixed with 10 Year Interest Only @ 0 Pts:  7.000% (APR 7.056%) ~ Priced @ 1 Pt: 6.625% (APR 6.814%).

JUMBO (Non-Conforming) Rates. Pricing is based on the same criteria above (zero points), with the exception that the loan amount is $417,001-$650,000 (20% down).   The specific scenario used to price the rates below is a sales price of $850,000 with a loan amount of $680,000. 

30 Year Fixed @ 1 Pt:  7.625% (APR 7.789%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $362,790 for FHA in King, Snohomish and Pierce Counties with 1 discount/origination point.

30 Year Fixed @ 1 Pt:  6.250% (APR 6.933%). 

FHA-Jumbo. Pricing based on 1 discount/origination point and loan amounts from $362,791 - $567,500 for King, Snohomish and Pierce Counties.  For other loan limits in Washington State, click here.   After December 31, 2008, loan limits for FHA Jumbo loans will be reduced to $522,100. 

30 Year Fixed @ 1 Pt: 6.500% (APR 7.182%).

VA. Pricing based on credit scores of 620 or better based on loan amount of $417,000.   For VA loan amounts over $417,000, please contact me.

30 Year Fixed @ 1 Pt:  6.250% (APR 6.371%).

Prime Rate (what HELOCs are based on):  5.000%.  This is just a small sample available of rates and products.  Rates are as of Friday, September 19, 2008 at 7:55 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. 

Mortgage rates continue to be very volatile.  Stay tuned with what's going on in the market by subscribing to Mortgage Porter (upper left corner) and Mortgage Porter Twitter for live rate updates (click Follow).