The Mortgage Porter

Mortgage Interest Rates - Improved from Last Week

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance)not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  

Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt:  4.875% (APR 5.030%).

15 Year Fixed Priced w/1 Pt:  4.375% (APR 4.637%).

10/1 ARM 5/2/5 CAPS w/1 Pt:  4.375% (APR 5.731%).

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.250% (APR 6.136%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 3.875% (APR 6.389%) ~ priced with 0 points:  4.125% (APR 6.393%).

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  

30 Year Fixed w/ 1 Pt: 5.000% (APR 5.147%). 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  5.750% (APR 6.862%)

5/1 ARM w/ 1 Pt:  5.125% (APR 6.849%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.000% (APR 5.841%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.375% (APR 6.246%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties with credit scores of 660 or higher.

30 Year Fixed @ 1 Pt: 5.250% (APR 6.087%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.250% (APR 5.584%)

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:  5.000% (APR 5.118%) 

Prime Rate(what HELOCs are based on):  3.250%. 

Rates are as of Thursday, July 10, 2009 at 2:30 p.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. 

We are currently averaging several rate sheets per day in this volatile market with new rate sheets being issued about every 3 hours.  For your personal rate quote with or without points, please contact me.

Most rates quotes above are priced with 1 point; 1 percent of the loan amount as an origination fee reflected a majority of the time on line 801 (line 808 in the rare event the mortgage is brokered and not closed in our credit line) of the Good Faith Estimate/HUD-1 Settlement Statement.  Zero points means no points are paid or reflected on lines 801, 802 (Discount Points) or 808 of the GFE/HUD.

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).

Pre-Holiday Mortgage Rates

Typically I post interest rates for home loans every Friday...but Independence Day on Saturday, the markets and many offices (including Mortgage Master) will be closed so I'm providing you this rate update a little earlier than usual.  Also a day earlier than the norm is the Jobs Report, which came in worse than expected.   Bad economic news typically means that mortgage rates improve as investors pull funds from stocks to seek the safety of bonds, such as mortgage backed securities.  We are seeing a slight improvement in our current rates from last week.

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance)not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  

Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt:  5.000% (APR 5.157%).

15 Year Fixed Priced w/1 Pt:  4.375% (APR 4.637%).

10/1 ARM 5/2/5 CAPS w/1 Pt:  4.625% (APR 5.885%).

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.500% (APR 5.885%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 3.875% (APR 6.389%) ~ priced with 0 points:  4.375% (APR 6.487%).

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  

30 Year Fixed w/ 1 Pt: 5.125% (APR 5.381%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  5.875% (APR 6.926%)

5/1 ARM w/ 1 Pt:  5.375% (APR 6.947%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.250% (APR 6.091%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.346%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties with credit scores of 660 or higher.

30 Year Fixed @ 1 Pt: 5.250% (APR 6.087%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.500% (APR 5.828%)

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:  5.250% (APR 5.360%) 

Prime Rate(what HELOCs are based on):  3.250%. 

Rates are as of Thursday, July 2, 2009 at 1:00 p.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. 

We are currently averaging several rate sheets per day in this volatile market with new rate sheets being issued about every 3 hours.  For your personal rate quote with or without points, please contact me.

Most rates quotes above are priced with 1 point; 1 percent of the loan amount as an origination fee reflected a majority of the time on line 801 (line 808 in the rare event the mortgage is brokered and not closed in our credit line) of the Good Faith Estimate/HUD-1 Settlement Statement.  Zero points means no points are paid or reflected on lines 801, 802 (Discount Points) or 808 of the GFE/HUD.

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).

Mortgage Rates for Washington State

Next week we have more Furlough day's with King, Snohomish, Pierce and Kitsap counties.  If you have a real estate transaction closing during that time, you may want to (hug your escrow officer) click here to make sure the county is open to record your deed and/or deed of trust. 

Next week is a short week in observance of Independence day.  The data from the Jobs Report will be released on Thursday, July 2, 2009.   Mortgage Master will be closed on Friday, July 3, 2009 along with government offices.

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance)not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  Most rates quotes below are priced with 1 point; 1 percent of the loan amount as an origination fee reflected a majority of the time on line 801 (line 808 in the rare event the mortgage is brokered and not closed in our credit line) of the Good Faith Estimate/HUD-1 Settlement Statement.  Zero points means no points are paid or reflected on lines 801, 802 (Discount Points) or 808 of the GFE/HUD.

Refi's are requiring a 60 day lockand therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

We are currently averaging 4-5 rate sheets per day in this volatile market with new rate sheets being issued about every 4 hours.  For your personal rate quote with or without points, please contact me.

30 Year Fixed Priced w/1 Pt:  5.125% (APR 5.283%).

15 Year Fixed Priced w/1 Pt:  4.500% (APR 4.764%).

10/1 ARM 5/2/5 CAPS w/1 Pt:  4.625% (APR 5.885%).

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.500% (APR 5.885%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.125% (APR 6.483%) ~ priced with 0 points:  4.625% (APR 6.582%).

Conforming High Balance. Pricing is based on the same criteria above (including zero points) except where the loan amount is $417,001 - $567,500for properties in King, Snohomish or Pierce Counties; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  

30 Year Fixed w/ 1 Pt: 5.250% (APR 5.399%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  5.875% (APR 6.926%)

5/1 ARM w/ 1 Pt:  5.375% (APR 6.947%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.375% (APR 6.221%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.346%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  

30 Year Fixed @ 1 Pt: 5.500% (APR 6.342%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.500% (APR 5.828%)

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:  5.500% (APR 5.612%) 

Prime Rate(what HELOCs are based on):  3.250%. 

Rates are as of Friday, June 26, 2009 at 12:00 p.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. 

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).

Mortgage Rates

Please forgive my recent absence from Mortgage Porter.  I was in Chicago for RE Bar Camp meeting with some of the top real estate professionals from across the country.  It was a great event...Chicago is a wonderful city and it's always great to be back home in Seattle.

Don't forget:  Today, June 19, 2009 is a furlough day--no real estate transactions will be recording in King or Snohomish Counties today...Kitsap County's recorders office is now closed every Friday through 2009.

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  Most rates quotes below are priced with 1 point; 1 percent of the loan amount as an origination fee reflected a majority of the time on line 801 (line 808 in the rare event the mortgage is brokered and not closed in our credit line) of the Good Faith Estimate/HUD-1 Settlement Statement.  Zero points means no points are paid or reflected on lines 801, 802 (Discount Points) or 808 of the GFE/HUD.

Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

We are currently averaging 4-5 rate sheets per day in this volatile market with new rate sheets being issued about every 4 hours.  For your personal rate quote with or without points, please contact me.

30 Year Fixed Priced w/1 Pt:  5.375% (APR 5.537%)

15 Year Fixed Priced w/1 Pt:  4.875% (APR 5.144%)

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 5.000% (APR 6.503%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.250% (APR 6.530%) ~ priced with 0 points:  4.625% (APR 6.582%)

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  

30 Year Fixed w/ 1 Pt: 5.500% (APR 5.654%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  6.125% (APR 7.055%)

5/1 ARM w/ 1 Pt:  5.500% (APR 6.997%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.343%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.346%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  

30 Year Fixed @ 1 Pt: 5.625% (APR 6.467%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  6.000% (APR 6.340%)

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:  5.750% (APR 5.865%) 

Prime Rate (what HELOCs are based on):  3.250%. 

Rates are as of Friday, June 19, 2009 at 8:30 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. 

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).

Mortgage Interest Rates for King, Pierce & Snohomish Counties

Don't forget:  Next Friday, June 19, 2009 is a furlough day--no real estate transactions will be recording in King or Snohomish Counties...Kitsap County's recorders office is now closed every Friday through 2009.

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  For your personal rate quote with or without points, please contact me.   Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt:  5.250% (APR 5.397%)

15 Year Fixed Priced w/1 Pt:  4.750% (APR 4.995%)

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.875% (APR 6.441%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.250% (APR 6.530%) ~ priced with 0 points:  4.500% (APR 6.534%)

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  NOTE: loan limits for certain "high cost" areas have been returned to the 2008 higher limits.  

30 Year Fixed w/ 1 Pt: 5.375% (APR 5.515%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  6.125% (APR 7.055%)

5/1 ARM w/ 1 Pt:  5.500% (APR 6.997%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.343%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.346%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  NOTE: Revised 2009 FHA loan limits are posted here for Washington State.  FHA has implemented the higher limits.

30 Year Fixed @ 1 Pt: 5.500% (APR 6.339%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.750% (APR 6.084%)

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:  5.500% (APR 5.612%) 

Prime Rate (what HELOCs are based on):  3.250%. 

Rates are as of Friday, June 12, 2009 at 4:00 p.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. 

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).

Friday's Rates...Still Low but Rapidly Climbing

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  For your personal rate quote with or without points, please contact me.   Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt: 5.375% (APR 5.523%) 

15 Year Fixed Priced w/1 Pt:  4.875% (APR 5.121%)

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt:  4.375% (APR 6.654%)  ~ Priced w/0 Points: 4.750% (APR 6.616)

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.     

30 Year Fixed w/ 1 Pt: 5.500% (APR 5.647%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

5/1 ARM w/ 1 Pt:  5.500% (APR 6.996%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.343%) 

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  NOTE: Revised 2009 FHA loan limits are posted here for Washington State.  FHA has implemented the higher limits.

30 Year Fixed @ 1 Pt: 5.500% (APR 6.338%).

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.500% (APR 6.346%)

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.500% (APR 5.828%)

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:  5.500% (APR 5.612%) 

Non-owner/Investment Property.  Pricing based on credit scores 740 with a loan amount of $300,000 and a loan to value of 75% or lower.

30 Year Fixed @ 1 Pt:  5.875% (APR 6.068%).

Prime Rate (what HELOCs are based on):  3.250%. 

Rates are as of June 5, 2009 at 1:30 p.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. 

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).

Question from a Mortgage Porter reader: My Loan Officer Didn't Lock...What Can I Do?

Last night, I received this email from a borrower who's dealing with yesterday's dramatic rise in mortgage rates:

I was wondering if there was anything we can do if we asked our lender to lock in Monday (which I would suppose would mean Tuesday am) and he didn't because he was sick.  Now he is balking at giving us the rate that he quoted us.  We think that the lending institution should make good on their rate, since we HAD decided to lock in and it was their delay that caused the problem.  Is there a chance for us? 

Monday was Memorial Day and therefore, the mortgage originator probably could not lock and most likely was enjoying a day off.   On Tuesday, it sounds like the loan officer took another day off for health reasons. 

Unless the mortgage originator provided you a written lock confirmation, I'm not sure that you have a leg to stand on.   A rate quote is not a guarantee of rate.  In fact, it's only valid the moment the loan originator is providing it.  Rates change constantly--yesterday, most of the lenders our company works with issued 5 different rate sheets. 

Not being able to reach your loan officer when you want to lock is a risk when floating your mortgage interest rate.  If I have the day off (due to health or vacation) I do have a manager who will take care of locks and/or any issues that may arise.   Consumers may also find it difficult to make contact with their mortgage professional to lock because they may be working with another client at the moment (either locking another loan or in a consultation).  

Not locking your rate at application (if you're closing soon) is gambling the rate not only are your betting that rates will go down, you're risking not being able to lock for the reasons mentioned above and also with constant changing guidelines in this current environment.  Locking the rate is also a form of gambling (that the rate will go up).   Always consider which worse case scenario you can live with when making the decision to lock or not lock.

With that said, rates may come back down since the Treasury is not done spending their allotment towards mortgage bonds (which has been keeping mortgage rates artificially low).  No one can say precisely when this will happen or how much rates will be manipulated lower.  

True Story from a Rate Shopper

Back in December, I was contacted from someone who is relocating to Seattle in June wanting rate quotes.  Right off the bat, I see this as a bit problematic because the rates I'm quoting along with the fellow mortgage suitors in December of 2008, will be different in June 2009 (or whenever this person is prepared to lock).  A rate quote is really just numbers spewed in the air.  Hopefully the mortgage originator who's providing the quote is honestly giving you the quote they would provide if you were locking at that moment.  Consider this: today most lenders issued 5 rate sheets--quotes would vary from the most ethical of mortgage originators in just an hours time.

Months of emails back and forth and good faith estimates including what if we bought this or that at this or that price with this or that down payment, the shopper opted to go with a mortgage originator based on the quoted rate.

Yesterday I received an email from this person asking if I could close their mortgage in four days:

Rhonda,

Went with a broker who now cannot deliver locked loan on closing date, one week from today. Wondering if it's possible at all for you....

My answer:  Sorry...no.  A four day closing?  I could never look at my Processor again...we could manage a quick closing but not that quick!  I asked for more details:

Apparently lender is saying they are "behind" and can only close a week later i.e. the 9th instead of the 2nd. Broker can get a higher rate 5.25% from another lender, so that's the fall back. We had originally locked 4.875%. In the meantime the truck will be heading towards Seattle...grrr! I do have a copy of the appraisal if that's of any help.

This sounds fishy to me (but I'm only getting one side of the story).  Lenders should be following a purchase and sale agreement that has a clear closing date.  The loan originator should be able to review the contract and know upfront whether or not they can accomdate the closing date. 

I also don't understand how a mortgage originator would say someone was locked at 4.875% one day and then say they can only close later at a higher rate?   If the rate was truly locked, an extension would be available and based on yesterday's rates (when I was contacted and not today's jump in rates) an extension would be a breeze with no change in rate...maybe a small fee that should be flexible if it's no fault of the borrowers on a purchase transaction.

With moving trucks planned from out of state, this homebuyer is in a bind. 

The locked rate will only be available a week later than promised, thats what the lenders have told the broker, and she told us. If not we have to she has lined up another lender but at a higher rate. I guess rates have gone up since we locked in :(

Rates go up and down after you lock.  Rates can also be extended if done as a "best efforts" lock.  The locked rate only being available a week later than promised is troubling.

My last email from the homebuyer after I offered a quick closing (longer than 4 days however!)

Broker now says her local lender can close on the 2nd so we go with that. We really have to close on the 2nd if not the sellers are going to hit us with a bunch of costs. Apparently the original lender just plain ran out of money in May and now has to wait till June to get more money from their "warehouse" source. if that makes sense. If only I had another week to change funding..

I only wish that consumers could understand that when they use rates to select the person who is going to guide them through the mortgage process on one of their most important lifetime investments, they're using a moving target (rates change constantly) that might detract them from the most qualified, hardworking, dedicated professional.

There's so much more to the picture than rate...and I know when I discuss this, it could appear that I have higher rates...you can always check out the rates I post on Friday here or better yet, check out my live rate quotes on Twitter. 

Mortgage Interest Rates

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  For your personal rate quote with or without points, please contact me.   Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt:  4.500% (APR 4.638%) ~ priced with 0 points: 4.750% (APR 4.803%).   

15 Year Fixed Priced w/1 Pt:  4.250% (APR 4.489%) ~ priced with 0 points: 4.500% (APR 4.590%).

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.25% (APR 6.112%).

5/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 3.75% (APR 6.317%) ~ priced with 0 points:  4.000% (APR 6.322%)

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  NOTE: loan limits for certain "high cost" areas have been returned to the 2008 higher limits.  

30 Year Fixed w/ 1 Pt: 4.750% (APR 4.879%) 

Jumbo/Non-Conforming. I now have jumbo loans available up to 1 million.  The quotes below are based on a loan amount of $650,000 with 80% loan to value and 740+ credit scores. 

30 Year Fixed w/ 1 Pt:  6.125% (APR 6.369%)

7/1 ARM w/ 1 Pt:  5.250% (APR 6.603%)

5/1 ARM w/ 1 Pt:  4.500% (APR 6.601%)

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  4.875% (APR 5.698%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.000% (APR 5.826%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  NOTE: Revised 2009 FHA loan limits are posted here for Washington State.  FHA has implemented the higher limits.

30 Year Fixed @ 1 Pt: 5.000% (APR 5.663%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.000% (APR 5.316%)

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:  5.000% (APR 5.107%) 

Non-owner/Investment Property.  Pricing based on credit scores 740 with a loan amount of $300,000 and a loan to value of 75% or lower.

30 Year Fixed @ 1 Pt:  5.375% (APR 5.511%).

Prime Rate (what HELOCs are based on):  3.250%. 

Rates are as of Friday, May 22, 2009 at 9:30 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. 

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).

Friday Morning Mortgage Rates for Washington State

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 740 or higher unless otherwise noted.    This scenario includes reserves (taxes & insurance) not being waived.   Rates quoted are priced based on a 45 day lock with no prepayment penalties.  For your personal rate quote with or without points, please contact me.   Refi's are requiring a 60 day lock and therefore, a rate-term refi is approx. 0.125% higher in rate or higher in fee (points)...cash out refi's are a whole other story with Fannie/Freddie price hits.

30 Year Fixed Priced w/1 Pt:  4.500% (APR 4.638%) ~ priced with 0 points: 4.750% (APR 4.803%).   

15 Year Fixed Priced w/1 Pt:  4.250% (APR 4.489%) ~ priced with 0 points: 4.500% (APR 4.590%).

7/1 ARM LIBOR 5/2/5 CAPS w/1 Pt: 4.125% (APR 6.064%).

5/1 ARM LIBOR 5/2/5 CAPS w/0 Pt: 3.875% (APR 6.287%). 

Conforming High Balance. 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; specifically priced for a sales price of $625,000 and a $506,000 loan amount.  

30 Year Fixed @ 1 Pt: 4.625% (APR 4.757%) 

FHA.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  4.875% (APR 5.698%) 

FHA 203(k) Rehab - Streamline.  Pricing based on credit score of 620 or better and loan amount of $417,000 for FHA in King, Snohomish and Pierce Counties.

30 Year Fixed @ 1 Pt:  5.000% (APR 5.826%)

FHA-High Balance. Pricing based on 1 discount/origination point and loan amounts from $417,001 - $567,500 for King, Snohomish and Pierce Counties.  NOTE: Revised 2009 FHA loan limits are posted here for Washington State.  FHA has implemented the higher limits.

30 Year Fixed @ 1 Pt: 4.875% (APR 5.701%).

USDA Rural Housing.  100% financing subject to income and location of home (generally available in towns of 10,000 or less in a rural area). 

30 Year Fixed @ 1 Pt:  5.000% (APR 5.316%)

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:  4.875% (APR 4.981%) 

Non-owner/Investment Property.  Pricing based on credit scores 740 with a loan amount of $300,000 and a loan to value of 75% or lower.

30 Year Fixed @ 1 Pt:  5.250% (APR 5.395%).

Prime Rate (what HELOCs are based on):  3.250%. 

1 Year LIBOR Index (what many ARMS are based on): 1.78 

Rates are as of Friday, May 15, 2009 at 9:00 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. 

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).