All Posts Tagged With: "rate"
Interest Rates Rise Suddenly, Say Mortgage Bankers
The Mortgage Bankers association is reporting that mortgage rates moved up sharply during the past week. ___ “The average contract interest rate for 30-year fixed-rate mortgages increased to 5.25 percent from 4.81 percent, with points decreasing to 1.02 from 1.28 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans. The 44 basis point [...]
3Jun2009 | Peter G. Miller | 0 comments | Continued
Mortage Rates Turn Upside Down
Every week Freddie Mac issues a general survey of mortgage rates and last week’s results were a shocker: Rates for fixed-rate loans were lower than the rates for ARMs. If you’re a borrower the conclusion is obvious: Stay away from ARMs. Here’s why: No Cash Refinancing If you have a fixed-rate loan you have a [...]
27Apr2009 | Peter G. Miller | 0 comments | Continued
Up or Down — How To Measure Your Local Real Estate Market
The past year has seen a slowdown in real estate markets across the country — and an outright slump in many. But such terms as “slowdown” and “slump” are relative and should be used with care — as should “boom” and “hot”. Given the localized nature of real estate, it pays to ask if there [...]
20Sep2008 | Peter G. Miller | 0 comments | Continued
Refinance Today! Act Now! (But Watch Your Wallet)
I’m always pleased when people want to help me, when they want me to get ahead. Surely such motivations describe the many folks who write with ideas that will allow me to make smaller mortgage payments and thereby save money, cut costs and better my life. Because such suggestions are made with only my best [...]
20Sep2008 | Peter G. Miller | 0 comments | Continued
How do Federal Reserve decisions to raise or lower interest rates impact the mortgage market?
The Federal Reserve controls two important rates: First there is the “federal funds rate– — the interest level banks can charge each other for the use of money overnight. Second, there is the “discount– rate — that’s the cost banks pay to borrow directly from the Fed. In effect, the Fed does not control long-term [...]
9Sep2008 | Peter G. Miller | 0 comments | Continued
How Does A “Buy-Down” Reduce Mortgage Interest Costs?
With a “buy-down” you have a below-market interest rate (it is “bought down”) because either the borrower or the seller have given additional money to the lender up front. There are different forms of buy downs, most reduce interest costs in the first few years of the loan. For instance, if you pay an extra [...]
1Sep2008 | Peter G. Miller | 0 comments | Continued
Is it better to get a loan from a mortgage broker or a mortgage banker?
There are numerous home financing sources in today’s marketplace: mortgage brokers, mortgage bankers, credit unions, banks, savings and loan associations, etc. The real test is not how the lender is organized, it’s whether they can deliver the best loan for your circumstances. In general terms, a mortgage banker is a company that has the ability [...]
1Sep2008 | Peter G. Miller | 0 comments | Continued
What’s The “APR?”
The Annual Percentage Rate (APR) represents most — but not all — of the costs that will be charged over the projected life of a loan, costs such as interest and points. One catch is that loans do not normally last as long as projected. As an example, when points are paid, they are undervalued [...]
1Sep2008 | Peter G. Miller | 0 comments | Continued
What’s A Mortgage “Buy-Down?”
When you borrow money, there’s a cost for its use. Usually, the cost to borrow money is paid-out over time in the form of interest, say $100,000 at 8 percent. But, you might also pay 7.75 percent. This can be done with a “buy-down.” Rather than paying 8 percent over the life of the loan, [...]
29Aug2008 | Peter G. Miller | 0 comments | Continued
What is a “float-down?”
A “float down” is a form of rate lock-in used by some lenders. The particulars may differ, but in general a “float down” means that you lock at today’s rate and can re-lock at least once before closing if rates fall. Since programs differ, speak with lenders to discuss individual lock-in options. Technorati Tags: down, [...]
28Aug2008 | Peter G. Miller | 0 comments | Continued
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