We’ve seen mortgage rates increase over the past week primary as a result of two things: signs that the U.S. economy is slowly improving and some progress in a resolution to the Greek debt situation. According to Freddie Mac’s most recent Primary Mortgage Market Survey, the average rate on a 30-year fixed rate mortgage jumped to 3.95% over the past week.
This morning initial jobless claims were reported as unchanged at 351,000 (slightly better than expectations), and the four-week moving average for claims is at the lowest level since 2008. This could be a sign that the economy is gaining traction, and the stock market seems to be rallying at least partially as a result.
If the rally continues we could see rates move somewhat higher today, although a spike is not anticipated. Right now there are many upward pressures on mortgage rates, and we could see continued increases in the coming days.
Some of Our Most Popular Rates and Products*:
|Mortgage Product||Mortgage Rates||APR|
|30 Year Fixed Conventional Mortgage||3.625%||3.741%|
|20 Year Fixed Conventional Mortgage||3.500%||3.661%|
|15 Year Fixed Conventional Mortgage||3.125%||3.331%|
|30 Year Fixed FHA Mortgage||3.625%||4.975%|
|15 Year Fixed Conforming Jumbo||3.500%||3.670%|
|30 Year Fixed Conforming Jumbo||4.375%||4.474%|
|5/1 Adjustable Rate Mortgage||2.375%||2.752%|
|5/1 Adjustable Rate Conforming Jumbo Mortgage||2.750%||2.711%|
***Mortgage fluctuate all the time. The above rates were quoted at 1:01 P.M., on February 23, 2012. Call 877-868-2503 for more details.***
Today’s News and Links:
Department of Labor: “In the week ending February 18, the advance figure for seasonally adjusted initial claims was 351,000, unchanged from the previous week’s revised figure of 351,000. The 4-week moving average was 359,000, a decrease of 7,000 from the previous week’s revised average of 366,000.” The four week average for initial claims is at the lowest levels in more than three years.
Dave Dayen: $80.35 million in foreclosure fraud settlement funds now getting redirected to state budgets.
NYT: E.U. forecasts “mild recession” for Euro Zone in 2012. This seems like an understatement to me.
Global Macro Monitor via The Big Picture: Current housing bust much worse than Great Depression.
Bloomberg: Men aren’t going extinct, study finds. This was a strange enough headline that I felt compelled to click on it.
Mike Konczal: Cochrane sees moral hazard in only one direction. Moral hazard arguments almost always bother me, for this very reason.
Felix Salmon: How to reduce the deductibility of interest payments.
Reuters: Greece sets stage for Friday bond swap.
Vanity Fair: Seeing Red. Via Longform.org Will Netflix survive?
* All rates shown are for 30 day rate locks. Longer locks are available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 1 point, a $495 application fee, $400 appraisal fee, $799 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $400 appraisal fee, $799 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $450 appraisal fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants with 720 or higher FICO and 80 LTV and are subject to mortgage approval with full documentation of income. All rates are subject to change without notice. All rates shown are for 30 day rate locks with 1 point unless otherwise noted.