Mortgage Rate Update 6/19/09

The current trend of rising interest rates has put a damper on many real estate deals as rate locks expire and buyers are forced to either accept a higher rate or pay points to get the rate back down to where it was. Others are using the rate increases as motivation to finally get off the fence and make an offer before rates rise even more. Having said that, rates are still hovering around historic lows, and even though a lot of people may disagree, a mortgage rate in the low fives is NOT a bad rate to buy a home at.

There is currently a proposal in the Senate (S. 1230) to amend the $8000 tax credit for first time home buyers and make it a $15,000 credit for ANY home buyer who buys a home within one year of the date of enactment. This proposal is far from being passed and even if it is, its impact on the economy will be far-reaching and possibly not worth the consequences. It will be interesting to watch how this plays out.

For expert assistance with your financing needs, call our in-house mortgage executive, Rick Cannavaro, at (203) 672-2706.

Here are this week’s rates:

Friday, June 19th, 2009

All rate quotes are for a 60-day lock with 0 points, 5% down payment, and a 720 FICO score.

Conforming limits are up to a $417,000 loan limit*

30 yr conforming fixed: rate = 5.500% APR = 5.664%

15 yr conforming fixed: rate = 5.000% APR = 5.240%

7/1 yr conforming ARM: rate = 5.375% APR = 5.725%

5/1 yr conforming ARM: rate = 5.125% APR = 5.320%

30 yr FHA Fixed : rate = 5.375% APR = 5.610%

30 yr CHFA w/ 1 pt : rate = 5.125% APR = 5.455%

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Jumbo loan limits range from $417,001 to $1,000,000*

30 yr jumbo fixed: rate = 6.125% APR = 6.352%

15 yr jumbo fixed: rate = 5.750% APR = 5.905%

7/1 yr jumbo ARM: rate = **** APR = ****

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CHFA (Connecticut Housing Finance Authority) rates for the week of June 18 – 24, 2009

Homebuyer Mortgage Plan:
Interest rate: 5.125 % (APR range 5.225 – 5.625%)
Fees: Up to One Point (1% Origination Fee) * Payable to Lender
Term – 30 years, fixed rate

Downpayment Assistance Program (DAP)
(Rate listed is for DAP loans with Homebuyer Mortgage Program financing.)

Interest rate: 5.125 % (APR range 5.225 – 5.625%)
Fees: Up to $200 Application Fee * Payable to Lender
Term – 30 years, fixed rate

(NOTE: If at any time the interest rate for the Homebuyer Mortgage Program exceeds 6%, the DAP interest rate will be capped at 6%.)

* Additional fees may apply

*Conforming loan limits listed above are for a single-family owner occupied residence.
Courtesy of The Harriman Team and William Raveis Mortgage

*All rates are subject to change. Minimum down payment and credit score requirements may apply. All information provided is deemed reliable but is not guaranteed and should be independently verified .

Tagged as: 06410, Adjustable rate mortgage, CHFA, DAP, Federal Housing Administration, mortgage rates