Mortgage Rates Look Great!
Here are the rates sent to me today from a great local experienced lender. Chrys and Larry Barnes at Pacific Capital Mortgage
Here's their number: 541-5353
Realtor Rate Sheet 12/14/09 (Rates Mainly steady from last week)
Conforming to $417k
PRIMARY | 1 pt. | 0 pts. |
30 yr fixed | 4.75 | 5.0 |
15 yr fixed | 4.25 | 4.375 |
10/1 ARM* | 4.5 |
|
5/1 ARM* | 3.625 |
|
5/1 I/O | 4.0 |
|
RENTAL | | |
PRIMARY | 1 pt. |
|
30 yr fixed | 5.0 |
|
15 yr fixed | 4.25 |
|
RENTAL | | 1.0 pts |
PRIMARY |
| Pts. |
30 yr fixed | 6.0 | 1.0 |
5 yr fixed | 4.875 | 1.0 |
5 yr I/O | 5.125 | |
FHA 96.5% to $417,000
PRIMARY | 1 pt. origination |
30 yr fixed | 4.75 |
FHA JUMBO 2009 – to $687,500
PRIMARY | 1 pt. origination |
30 yr fixed | 4.875 |
720 credit score, fully documented
income and assets,30 day lock.
Conforming primary fixed: 20% down
Conforming ARMs: 25% down
Conf. Rental: 25% down
Conf Jumbo Fixed: 25% down
Conforming Jumbo Rental: 40% down
Jumbo primary: 25% down.
“JUMBO/CONFORMING” LIMIT: $687,500
This information is intended for use by industry professionals only. It is useful as a quick snapshot of purchase rates for the above date, but does not constitute a formal rate quote for a particular borrower, property or scenario. Rates change DAILY and are subject to extreme market volatility!
Rates and guidelines are in constant flux and DO change without notice, including higher credit score requirements or reduced LTVs. IMPROVED pricing is sometimes available for lower LTVs and/or superior credit. Please call for details.
*5/1 or 10/1 ARM refers to an adjustable rate mortgage that is fixed for 5 or 10 yrs, then adjusts yearly thereafter. I/O means an “interest only” payment option.
**Regular Jumbo – Owner occupied to 65%. Add-ons apply for loans over $625K.
***USDA - Moderate income, $417k limit. CALL for details!
As of today, Monday, December 14, rates are Mainly Steady from last week. You'll find conforming owner occupied SFR purchases in the high 4s or low 5s for most qualified borrowers. Be sure you call for up-to-date pricing if you need to quote clients later in the week. The market has been somewhat volatile, so we are off our extreme low rates of a couple weeks ago.
Check out the 5/1 ARM (five year fixed) for clients who can handle slightly more interest rate risk or who have a "Five year plan" for the home they are purchasing. At least for the time being, rates are into the 3s on this program for those with good ltvs and credit scores!
Also, be aware that Fannie Mae guidelines are have become much more conservative with respect to the borrower's debt ratio as of December 12th. It's more important than ever to get your buyers prequalified in order to ascertain immediately whether or not their financial picture meets Fannie Mae guidelines.
Here are some programs you should keep in mind:
- FHA ... Primary residence. Good for lower credit scores or less than 20% down. Minimum down payment is 3.5%. Down payment and closing costs can be (documented) gift funds from relatives. FHA Jumbo goes up to $687,500 in SLO County.
- USDA ...Primary residence. 100% financing option for moderate income buyers who are looking for a modest starter home in semi-rural communities such as Los Osos, and certain parts of North and South County. PLEASE NOTE: USDA is subject to running out of funding at this time of year. Call with inquiries if your client wants this program.
- Agency Jumbo 2nd Home Purchases ...80% up to $561,000
- Condos ...51% Owner Occupancy requirement WAIVED when subject is for primary residence or 2nd Home (Conforming to 80% Ltv/established projects only)
- Reverse mortgages. Allows seniors to gradually borrow back part of their home equity and use the proceeds for basic living expenses, home care, etc.