Rain City Guide

We are closer to the conforming loan limits being increased through the end of 2008. After President Bush signs HR 5140 into law, HUD will have 30 days to publish what will be used for median home prices. The temporary conforming limits will be based on 125% of the median home price. [...]

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 minimum credit scores of 680 with an 80% loan to value or lower, a loan amount of $400,000, and with reserves (taxes & insurance) not being waived.   Rates quoted [...]

T.G.I.F!  Mortgage interest rates have improved slightly since this morning by 0.125% across the board.  Jumbo rates jumped up significantly on Wednesday.  And as if this week didn’t provide enough drama, next week is packed with events that assures another volatile ride with mortgage interest rates.   As always, I strongly recommend locking.   In this market, rates may change as soon as [...]

Mortgage rates continue to be very attractive, however this may change at a moment’s notice.  A rule of thumb to watch for is when the stock markets are tanking, mortgage rates may be improving.  This is because investors will seek the safety of bonds (with mortgage rates are based on).  The reverse may also be true: when the [...]

Mortgage guidelines continue to tighten.   Most recently, I’m seeing some lenders extend credit score-risk based pricing to FHA and VA mortgages.  Second mortgages have increased credit score requirements and have pulled back the total loan to value they will lend.   If you are putting less than 30% down and are considering obtaining a mortgage in the next [...]

The much weaker than expected Jobs Report and unemployment figures at a two year high find mortgage rates benefiting from investors seeking the safety of bonds.  This “bad news” could be a great opportunity for those who are considering refinancing or buying a home.   Mortgage rates have improved from 0.25% - 0.375% to rate while stocks [...]

Mortgage interest rates continue their journey upwards after the release of the PCE (Personal Consumption Expenditure) coming in higher than expected at 2.2%.   The Fed prefers to see this index at no higher than 2%.  As this economic indicator is pointing towards inflation.  At this time, it is likely the Fed will be forced to lower [...]

Earlier this week I told you about how Fannie and Freddie are increasing the cost of mortgages for anyone with credit scores under 680 using less than 30% down. This impacts A LOT of people. Since I posted that article, I have received many memos from some lenders saying that they are implementing [...]

This morning’s Jobs Report provided a higher figure of 94,000 new jobs over the anticipated 70,000 helping to erase the improvments to the 30 year fixed conforming rates that we’ve seen during this week. This illustrates how much bonds react negatively to inflation.
The next major influence on mortgage bonds will be [...]

The conforming 30 year fixed rate is at a 2 year low…how long will this last? No one knows for certain and this is why I always recommend locking in your rate and not floating. A week from today is the first Friday in December which means it’s also the day the [...]