The O.C. Real Estate and Mortgage Blog

Mortgage Rates Bottom Out. Lock'em If You Got'em

Re-print from Mortgage News Daily - Nov. 20, 2009

While benchmark interest rates continue to chop around in a contained range, mortgage-backed securities have moved sideways, failing to make much progress in either direction. Although we have experience a few moments of added volatility, tight trading ranges have kept and generally "topped out" MBS prices have kept mortgage rates stable all week, near six month lows.

Reports from fellow mortgage professionals indicate mortgage rates to be unchanged from yesterday.

The par 30 year conventional rate mortgage continues to hold in the 4.625% to 4.875% range for well qualified consumers. To secure a par interest rate you must have a FICO credit score of 740 or higher, a loan to value at 80% or less and pay all closing costs including an estimated one point loan origination/discount/broker fee.

As always, you can elect to pay less in closing costs and secure a higher interest rate or pay additional discount points to buy the rate down further.

As previously stated, MBS prices are hitting a ceiling, unable to make enough progress to push mortgage rates any lower. Therefore, if you are still floating, it is time to take advantage of the aggressive rates lenders are currently offering.

Even though there is room for benchmark Treasury yields to move lower heading into year end, we do not expect MBS prices to benefit from continued gains as the recent strong performance of mortgages has many investors thinking about profit taking.

To get your low rate Locked-In Fast, Call us at (800) 564-1500 Today! Or visit our website at; www.LowMortgageRatesOnline.com and click on the Apply 4 Low Rate Button