Today’s Mortgage Rates at Total Mortgage for Friday, September 17, 2010

It's not exactly my cup of tea, but there's no accounting for taste.

Congratulations on making it to the end of the week, and what a week it has been.  There was significant market movement, and mortgage rates at Total Mortgage actually dropped while national average mortgage rates increased.  So before you get busy with your weekend activities, take a few minutes to check out the low rates we are posting today.

The most recent mortgage rates surveys by both Freddie Mac and Zillow have showed average mortgage rates increasing.  According to Freddie Mac, the average rate on a 30 year fixed rate mortgage increased from 4.35 percent to 4.37 percent last week.  It is not entirely clear if this is the beginning of a trend of upward movement in mortgage rates or just a blip on the radar.  If you are considering refinancing, you need to take into consideration the possibility that rates may move higher, but don’t have a lot of room for movement lower.  There is limited upside but a lot of downside in waiting to refinance.  Refinancing your mortgage may save you hundreds of dollars in monthly payments and thousands of dollars over the life of your loan.

Traditionally, fixed rate mortgages have been one of the most popular mortgage products in the United States.  A lot of borrowers like having the security of having a consistent monthly mortgage payment over the course of their mortgage.  By taking out a fixed rate mortgage, a borrower shifts a lot of the inherent interest rate risk in a mortgage to the lender. If you are going to be in your house long term, or if you want to lock in a consistently low monthly mortgage payment, a fixed rate mortgage is probably the best mortgage for you. We at Total Mortgage work hard to bring you some of the best fixed rates in the country. 30 year fixed rate mortgages are available to qualified buyers at 4.0 percent with a 4.201 percent APR.  Qualified borrowers who want to own their house free and clear more quickly can opt for a 15 year fixed rate mortgage is available at 3.5 percent with an APR of 3.854 percent.  The monthly payments are more expensive, but you will save thousands of dollars in interest payments compared to a longer term mortgage.

Jumbo mortgages were very difficult to get over the past couple of years, but if you are buying a house that costs more than the Fannie Mae’s conforming limits ($417,000 to $729,750 depending upon where you live), you will have to get a jumbo mortgage.  Credit standards on jumbo mortgages have loosened somewhat, and a 30 year fixed jumbo mortgage is available at Total Mortgage with a mortgage rate of 4.875 percent and an APR of 5.098 percent.

Are you a renter who is trying to make a foray into homeownership?  An FHA mortgages are great, especially for first time homeowners.  One of the best features of an FHA mortgage is that it only requires a down payment of 3.5 percent, far less than most conventional mortgages.  It is important to realize that FHA mortgages require the borrower to take out mortgage insurance, which can increase your costs in the long run. For qualified borrowers we are offering 30 year fixed FHA mortgages at 4.125 percent with a 5.293 percent APR.

Are you only planning on living in your home for a few years before moving?  You may want to consider an adjustable rate mortgages (ARM). ARMs offers some big advantages over fixed rate mortgages for the right kind of borrower. They feature low initial mortgage rates that are unmatched by any other type of mortgage. It is important to note that there is some inherent risk with an ARM, as the interest rate can escalate after a certain number of years.  They are not appropriate for all buyers. It is important to be counseled by an experienced mortgage professional before making any decisions about what kind of mortgage loan is appropriate for you.

Some of our most popular ARM’s are 5/1 conforming and 5/1 jumbo ARMs. A 5/1 conforming ARM is available with a 2.75 percent mortgage rate and a 2.637 percent APR. A 5/1 jumbo ARM has a slightly higher mortgage rate of 3.625 percent and a 3.657 percent APR.

Mortgage rates change all the time. These mortgage rates were quoted at 9:00 a.m. on September 17, 2010.

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For a complete list of Total Mortgage’s current mortgage rates and mortgages products call 877-868-2503 immediately, to speak with a licensed mortgage professional.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 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, $500 loan processing fee, $715 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, $500 loan processing 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 and are subject to mortgage approval. All rates are subject to change without notice.