30 year fixed mortgages were available at 4.75 percent all of last week to well-qualified consumers paying a standard .07 to 1 point origination, says FreeRateUpdate.com, a rate research website. 15 year fixed mortgages could be obtained at 4.25, and the 5/1 ARM at 3.625.
FHA loans continued to be available at the same rates as conforming mortgages. While MI and other FHA fees make FHA loans more expensive, a home-buyer tax credit of up to $8,000 is available through the end of April and applicable toward closing cost. New FHA loan guidelines, effective April 05, include an increase in MI to 2.25 percent of the amount financed.
Jumbo mortgage rates held steady last week as well. The jumbo 30 year fixed rate, for true jumbo loans exceeding conforming jumbo mortgage loan limits, remained at 5.625 percent all week. 5.5% was available to consumers with extremely low loan to value ratios of 60% or less. The benchmark 10 year treasury yield, a leading indicator for 30 year mortgage rates, finished the week flat at 3.7 percent. When mortgage rates dipped to all time record lows late last year, the yield dipped below 3.2 percent.
Despite the much anticipated Fed exit from mortgage-backed securities purchasing now just 2.5 weeks away MBS prices, which drive mortgage rates in the opposite direction, were also flat.
FreeRateUpdate.com researches over 2 dozen wholesale lenders' rate sheets daily to determine the mortgage rates available to well-qualified consumers at a standard .07 to 1 point origination. These rates are well known in the mortgage industry as "par rates".
Current Mortgage Rates:
Conforming:
- 30-yr fixed - 4.750%
- 15-yr fixed - 4.250%
- 5/1 ARM – 3.625%
FHA/VA:
- FHA 30-yr fixed – 4.750%
- VA 30-yr fixed – 4.875%
- FHA 15-yr fixed – 4.500%
- FHA 5/1 ARM – 3.625%
- FHA 5/1 ARM – 3.625%
Jumbo
- Jumbo 30-yr fixed – 5.625%
- Jumbo Conforming 30-yr fixed - 4.875%
Source: FreeRateUpdate.com
Published: March 16, 2010
