The Party is Over for the Lowest Mortgage Interest Rates

If anybody is in the middle of the mortgage process now, either refinancing or purchasing a home, you are probably aware that the mortgage rates have increased dramatically (i.e. .25-.5%) since mid-April. If you are not aware, then you certainly are not working with me or anybody else who is watching out for your best interests. For everybody else, you will know soon since the newspapers are very good at writing stories about interest rates (either up or down) when it is already "Old News." The "new normal" is likely going to be interest rates in ...

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Giving Thanks for 7 Things that Surprised Me in Housing and Mortgages in 2014

Has it really been nearly a month since Halloween?  Apparently so since traffic on the highways, near the mall mecca of Paramus, is reminding me that holiday shopping mode is in full swing!  However, before we get there, we need to fulfill the American rite of giving “Thanks” for the overabundance of food in our country by gorging ourselves on turkey, stuffing and sides. We then leave room for dessert pies, including the season bellwether, pumpkin pie on which with we will “gourd” ourselves! Like the variety of side dishes on Thanksgiving, some of which are ...

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The Purchase Market, Lower Rates and a Small Favor

NEWSFLASH #1: The housing market is not that strong so far this Spring. There is a lack of inventory in most markets and year-to-date sales are much below the historical average for home sales. Manhattan and Brooklyn continue to lead the way, mostly supported by foreign buyers and cash deals. But, outside of these areas, the housing market continues to limp along. Well priced houses sell and good areas close to Manhattan with top schools are doing well. Everywhere else, not so much. Hopefully the improving weather and low interest rates (see below) will improve this. ...

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2014 Interest Rate and Real Estate Market Forecast

I see the same thing for interest rates for most if not all of 2014. In good "rate" times (which will correspond with poor economic news or international issues), we may get close again to 4% on the benchmark 30 year fixed, conforming rate loan. While in bad "rate" times (which will correspond with positive economic news or relative calm in the world) we may get close to 5%. However unless there are significant improvements in the job market and/or inflationary signals, I do not see the bull run of the stock market foreshadowing a huge upward trend in the interest ...

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LOOK OUT BELOW….Interest Rates Fall to Historic Levels

NEWSFLASH!!        DON’T BE LATE --BEAT THE RUSH AND REFINANCE NOW!              As you likely have heard, interest rates have now fallen to their lowest levels in decades!. You may want to consider refinancing your current fixed rate mortgage. If you have an ARM with a few years left on it,  you may want to convert into a fixed rate loan or just lower your monthly payments by taking out another ARM.    In addition, if you have a 30 year loan and want to save on interest expense by shortening the term, you may want to consider converting it ...

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WHO LET THEM LOW RATES OUT, WHO, WHO?

After all the bad news that has been coming out recently about the real estate market generally and the mortgage industry, specifically, I am here to finally report some good news.  Unbeknownst to most homeowners, interest rates on conforming/non-jumbo loans (i.e. loan amounts of $625,000.00 or less) have now fallen enough that we are firmly entrenched in a refinance market. Interest rates on these loans are now available in the low 4s on 30 year fixed rate loans and the low 3s on 15 year fixed rate loans.  Due to the tightening in the lending markets, banks are ...

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Low Rates, Refinancing Volumes Are Up. Get In Before It’s Too Late!

30 year-4.125% up to $417k 30 year-4.25% up to $625k 30 year above $625k-4.625% (bi-weekly to $2.5M)/4.875% to $1M (standard) 15 year-3.25% up to $417k 15 year-3.375% up to $625k 15 year-over $625k-3.625% 5/1 ARM-2.875% (up to $417K) 5/1 ARM-3.0% over $625k 7/1 ARM-3.25% up to $417k 7/1 ARM-3.375% up to $1M 10/1  ARM-4.0% up to $1M All rates are for 45 days with 0 points and made by third party providers.  They assume credit scores of 740 and use of property as a primary residence.  Some products have loan-to-values limited to 60 or 70% ...

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URGENT-Loan Amounts of $625,500-$729,250 Must Be Refinanced by September 30th for Best Pricing!

Since 2008, Fannie Mae and Freddie Mac have made loans available in amounts over the standard conforming (i.e. non-jumbo) lending loan limit of $417,000.  These loans, which are in amounts of $417,000-$729,250 are known as either High Balance Loans or Jumbo Conforming Loans.  These loans were  designed to fill part of the gap in the lower end of the Jumbo loan market that disappeared in 2008 with the collapse of the secondary  market. However, the original limits of these High Balance loans was only $625,500. There was a "temporary" 1 year increase of the loan ...

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REFINANCE NOW-RATES ARE THE LOWEST THEY HAVE EVER BEEN!

With the huge decline in the stock market the past two weeks (and especially the past few days), the bond market has rallied causing a drop in interests rates.  If you missed the last refinance opportunity in the Fall of 2010, there is another chance now.  But, since nobody knows how long this will last, I suggest that anyone considering this contact your mortgage company as soon as possible.  As of the closing of the markets today, 30 year fixed rate loans up to $417,000 are as low as 4.25%; 15 year fixed rate loans are 3.5% and 5/1 ARMs are 3.125%. Rates on loans ...

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Rates Are Up. Still good for purchases and refinances for cash or ARMs to Fixed

30 year-4.875% up to $417k 30 year-5.0% up to $729k 30 year-5.25% -$1M 15 year-4.375% up to $417k 15 year-4.50% up to $729k 5/1 ARM-3.75% (up to $417K) 5/1 ARM-4.0% up to $1.0M 7/1 ARM-4.375% up to $800K 7/1 ARM-4.5% up to $1.5M 10/1  ARM-4.625% up to $1M All rates are for 45 days with 0 points and made by third party providers.  They assume credit scores of 740 and use of property as a primary residence.  Some products have loan-to-values limited to 60 or 70% (but not the conforming fixed rate loans). All loans are arranged by FCMC ...

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