Look at this chart:
Fixed rates are actually tied to 10-year Treasury bonds.
That all said, I think mortgage interest rates will stay about the same or continue slowly creeping down a bit more.
Posted on 01/24/2008 8:52:04 AM PST by CharlieOK1
I am asking here as I value Freepers' input. I have a 30-year Fixed at 6.25 that I want to re-finance. I can get 5.625 with no points today. I have my Father-in-Law telling me to wait as he believes rates are going to go even lower when the Fed meets next week. Do you think rates are likely to go down, up, or what? And why?
You can start the paperwork right now, just make sure if the rate goes down before closing you get the lower rate.
I heard a discussion on a financial show this AM and they predicted rates would go lower. You can lock in rates now without actually closing at that rate if they do go lower.
Lock your rate in now, but take your time before signing. If the rate drops they will correct it, but if for some untold reason they rise a little you are still guaranteed the rate you locked in.
Have you looked into an adjustable rate/adjustable term?
Basically, if the rates change, the term changes instead of the payments. These are good if you don’t plan to keep your home but you want to lock in payments at the lower rate. Sometimes, if you start the paperwork today, you have up to 30 days to lock in a rate if it drops.
Godd chance they will be lowered again next Wednesday. I would wait to see what happens then and if there is any language in their release which gives tips on what they might do in the future. You should be able to do better, but if not, that new rate is worth doing it.
I saw 5.125 for a 30 year fixed mortgage offer yesterday.
Make sure your mortgage lender offers you a free float down, meaning that if the rate offered declines during your lock period, that is the rate you will receive. It might also be helpful if your lender offers a lock longer than the standard 30 days. Shop around a little before you do lock yourself in, because from what I’ve seen, you should be able to do better than that ... Bankrate.com has 5.5%, with no points I believe, but there are still fees. If the loan you’re looking at is a “no closing cost” loan, meaning that you’re exchanging upfront cost for a slightly higher rate, then the rate you mention isn’t bad at all. Good luck.
Look at this chart:
Fixed rates are actually tied to 10-year Treasury bonds.
That all said, I think mortgage interest rates will stay about the same or continue slowly creeping down a bit more.
Exactly. I do mortgages for a living and that sounds like a good deal, but I’d have to see the whole shebang to know for sure.
I think I would start the re-fi process now and try to get the lower rate from next week. I would look to get 5.25% or better. I’m currently in a 5.25% fixed 30 yr and would like to get below 5.0% preferrably 4.75% with a FICO score of 760.
I’d wait a month or two. I’ve got 6%/30 now. I’m waiting for something in the 4’s FIXED for a 15 or 20 year term. I think i’ll get it eventually.
Run, don’t walk, away from adjustable rates.
check out ditech .com they will preapprove you over the phone, and they are advertizing 4.5 fixed 30 years.
Keep monitoring it, and get the ball rolling so you can swoop when the numbers are right
I'm in the same boat as you. If you find anything favorable, ping me please.
Good chart.
If you can actually refinance with absolutely ZERO closing costs and ZERO points, you should ALWAYS do so.
After all, it costs you nothing. You can always spend the money to refinance lower later if you get the chance.
Let’s say you are waiting in hopes it drops to 5.25%. If someone comes to you and says, hey, would you like to pay 5.65% while you are waiting, instead of 6.25%, would you say “No, I’ll pay more while I’m waiting, thank you”.
Refi with a 15 year, which is running around 5% right now.
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