15 May 2008 109 views No Comment Print This Post  Email This Post

Rates are up very slightly this week as the stock market has been gaining, causing money to flow from bonds into stocks. The good news in the bond market is that a report came out stating that mortgage bonds are very cheap and that investors, now less scared by them, no longer need large rate premiums as an enticement to buy.Conforming 30 Year Fixed is at 5.875% with Agency/Plus ($417,000 to $729,000) at 6% and Jumbo at 7.25%. Note the agency/plus pricing at only a .125% premium over conforming! A few lenders have introduced 5 year fixed products for the agency/plus levels that are priced at 5.625% today.

Let me know if you have any more questions!
Download Today’s Current Rate Sheet

Susan Van Wagenen
Terra Mortgage
Phone: 714-323-5559
Fax: 714-242-9666