Mortgage Rates

[Greg]

Looks like rates are creeping up slowly. They are up a quarter percent since we locked in. We are finally closing tomorrow morning.

I've been watching that. I just read an article on Bankrate.com that analysts are nearly 50/50 split on where the interest rates are going to go within the next 2 months. There's a slight lean towards another decline in rates, if anything. I hope so!

 

[Maverick]

I thought I heard about another rate cut today...

I hope the rates are still low in 18 months when I buy my next house.

 

[benjy]

It's like watching a bouncy ball and it's driving me NUTS

 

[Greg]

It's like watching a bouncy ball and it's driving me NUTS

No kidding! I've heard money is going to be cheap about a year from now. We'll see where rates go between now & then.

 

[RockMonkey]

It's like watching a bouncy ball and it's driving me NUTS

We locked in January 15th. Looks like that was a good call.

 

[hambone]

i locked in a week ago at 5.5% for a 30 year fixed

 

[Greg]

I know this has been mentioned in Kurts thread about ARMS, but it looks like rates are back at at fairly low levels again. Currently I can get 30 yrs at 5.47% APR and a 15 yr loan at 5.25% APR. I wonder where they'll go from here, perhaps down a tad more?

 

[Cody]

Ya, it's a good time. Thats why I'm trying to prep my home for sale. I think now is a great time to try and move a starter home and move up to something a little bigger/better.

 

[Bart]

I heard talk this morning of another drop in the prime rate to help with the Wall Street disaster that's happeing. I don't know how long that takes to filter into ARMs. I know mortgage $$$ are getting tougher to come by at the moment with all the failing lending institutions, but it should come around soon.

 

[benjy]

I know mortgage $$$ are getting tougher to come by

I heard that a lot when we applied for our mortgage.... I thought a fairly newlywed, young couple with barely any credit would have a hard time getting a loan. We qualified for more of a house than I felt we were able to afford. I understand the self employed are having a difficult time getting approved...

 

[Bucking Bronco]

I heard talk this morning of another drop in the prime rate to help with the Wall Street disaster that's happeing. I don't know how long that takes to filter into ARMs. I know mortgage $$$ are getting tougher to come by at the moment with all the failing lending institutions, but it should come around soon.

It was expected but the feds chose not to lower rates

 

[StrobeNGH]

Ya, it's a good time. Thats why I'm trying to prep my home for sale. I think now is a great time to try and move a starter home and move up to something a little bigger/better.

So, you're moving it out of Glendale?

 

[Cody]

So, you're moving it out of Glendale?

meh meh meh. I think technically I'm considered Poplar Grove....but it's all the same ghetto.

 

[Greg]

Mortgage rates for a 30 yr fixed were over 6.5% a while ago, but they're down and continuing to drop again. Currently a 30 yr fixed is about 5.6%... I'm still holding out for 5% before we refinance.

 

[Shawn]

I saw 5.25 on Monday... I had phone in hand waiting for the 5.0....

 

[cruiseroutfit]

Guess I could have held on a little longer, we locked in at 5.5% in September but we had an ARM up for change in October so it was needed.

 

[Greg]

Guess I could have held on a little longer, we locked in at 5.5% in September but we had an ARM up for change in October so it was needed.

I wouldn't sweat it, I think you did well getting 5.5%. We're at 6%, so it's not like we're hurting. I hear it's not worth refinancing unless it's a full percentage point less than your current rate, due to the associated fees.

 

[Shawn]

I wouldn't sweat it, I think you did well getting 5.5%. We're at 6%, so it's not like we're hurting. I hear it's not worth refinancing unless it's a full percentage point less than your current rate, due to the associated fees.

I'm at 5.75% if I lock in at 5.0 I save $200.00 per month. 4.75% only saves me an additional 30-40 bucks. 5.0 is a good number that I have been waiting for.

$200.00 x 30 years = $72,000.00 Not including additional interest.

Yep, the 5.0 is reasonable and there is a very good chance it will happen.

 

[waynehartwig]

I wouldn't sweat it, I think you did well getting 5.5%. We're at 6%, so it's not like we're hurting. I hear it's not worth refinancing unless it's a full percentage point less than your current rate, due to the associated fees.

Exactly.. And you have to be staying in the home for a long period as well. If you plan on selling in a few years, it doesn't really make sense.

Reason I bring that up is currently our home is a 5/1 ARM at 7% IIRC. We've been wanting out of WA since we moved here - even if it's ~30 miles east into ID. Our five years is up in 10/2011 I believe. We have to be here through 10/2010 before they will allow us to transfer again (no WA wasn't our choice, but our next transfer will be).

We don't want to be stuck in an ARM! But at the same time, we don't want to pay to refinance now and then end up selling over the next year and buying something else at 5%. It's a tough decision..... Homes are selling up here. Not a lot and the realtors are a pain to list with now - new disclosures to be sure you aren't selling because of financials.

 

[Greg]

I'm at 5.75% if I lock in at 5.0 I save $200.00 per month. 4.75% only saves me an additional 30-40 bucks. 5.0 is a good number that I have been waiting for.

$200.00 x 30 years = $72,000.00 Not including additional interest.

Yep, the 5.0 is reasonable and there is a very good chance it will happen.

Well then, by all means refinance! If you hear about 5%, please update this thread. I'd be all over it.

If I can get 5% I'd honestly do a 20 yr loan. That would be about the same payment I'm making now, with 7 yrs less than the mortgage I'm paying on.