Last month, I mentioned the turmoil from all the changes and upsets in the mortgage and real estate markets. The
news this month is INTEREST RATES ARE THE LOWEST I'VE EVER SEEN in 20 years in this business. Today,
June 22nd, a well-qualified borrower can a 30 year fixed rate loan under 4.375% and a 5/1 ARM for 3%!! Yes, your
eyes are reading correctly, that's 3%!!
I have one client who's expecting rates to drop to 3.5% for a 30 year fixed and he's already getting his refinance in place for what he considers to be that likelihood. Who knows where rates will end up? I've always tried to caution clients about assuming rates will go lower, but right now I'm not so sure that they won't go lower. Greece, the Euro and the European Union and the BP oil spill in the Gulf. Those are BIG events and it's hard to predict how they will affect the bond market and mortgage rates.
So, if low rates like that interest you, you might want to consider taking action sometime in the next month or so. And, as always, if you have questions, feel free to ask anytime.
Thank you,
I have one client who's expecting rates to drop to 3.5% for a 30 year fixed and he's already getting his refinance in place for what he considers to be that likelihood. Who knows where rates will end up? I've always tried to caution clients about assuming rates will go lower, but right now I'm not so sure that they won't go lower. Greece, the Euro and the European Union and the BP oil spill in the Gulf. Those are BIG events and it's hard to predict how they will affect the bond market and mortgage rates.
So, if low rates like that interest you, you might want to consider taking action sometime in the next month or so. And, as always, if you have questions, feel free to ask anytime.
Thank you,
In this issue of Coach's Corner: