Bond & Rate Update
Good afternoon!
It looks like the uncertainty and fear regarding the economy and markets has caught up with mortgage backed securities. Until this week, bonds had generally been a safe haven for money pouring out of the stock market. It appears now that not even bonds are safe as money is flowing into treasuries. Mortgage rates are being further hampered by the additional bond supply as the Federal Government increases their bond auctions so they can finance T.A.R.P and other financial rescue measures. The Bond market closed early today and will remain closed until Tuesday. Maybe the breather will help.
Rates for the weekend:
FHAs and conforming conventionals are ranging from 6.500% to 7.125%. Jumbos are running from 8.50% to 9.25%.
Using CHFAs silent second to achieve 100% financing has rates running 8.000% for non-1st time home buyers and 7.375% for qualified 1st time homebuyers. These are up 3/8% from last week.
Utilizing CHAC to provide down payment assistance in conjunction with an FHA loan is a better option for those who are eligible.
Steve Terlau
Cherry Creek Mortgage
303-452-4698
Your friend in real estate,
Shelli Dore
303-942-0648
...Remember! The next time you are in a conversation with someone who is thinking about a move - IN ANY CITY OR STATE IN THE US OR CANADA - call me first! I can help make sure your friends, family members and work associates are very well taken care of.