American Pacific Mortgage

American Pacific Mortgage

Wednesday, November 3, 2010

Post Election Market Update -- Don't Postpone the Refi


Now that the dust has settled, so to speak, it’s time to turn our attention back to interest rates before the holidays arrive.

Mortgage-backed securities are still moving up and down in a tight trading range…so interest rates follow, and are just off the record lows of the year.

However most of the data/market info suggests that with the Fed trying to stimulate the economy, inflation will soon kick in and rates will move up. No one thinks it will happen next week, but maybe by next month or the first quarter….so don’t delay!

NO COST / NO POINT RATES:
4.375% for a 30 YR fixed under $417,000;
4.625% for a 30 YR fixed from $418,000 to $729,000

Obviously you can obtain a lower rate if you want to pay for the closing costs and /or origination fees. Rates for adjustable loans are even lower. They can be difficult to qualify for, however, since they use a higher interest rate to underwrite due to the higher assumed risk of a shorter term loan.

I can’t believe it is already November, and Thanksgiving will be here before we know it! Hope everyone had a Happy Halloween!