Today’s Mortgage Rates at Total Mortgage for Thursday, September 30, 2010

On this day in 1927, Babe Ruth hit his 60th home run, a record that would stand until 1961. The House that Ruth Built is no more, but Total Mortgage can help you build a home of your own.

Mortgage rates have fluctuated nationally for the last couple of weeks, but Total Mortgage’s rates have remained consistently low.  If you are stuck inside on this rainy Thursday, take a couple of minutes to see what Total Mortgage can do for you today.

Today’s News Roundup:

The major economic news of today is the GDP report.  The report found that the economy grew at an annual rate of 1.7 percent in the second quarter of 2010. The advance estimate of growth was 2.4 percent, so this is a fairly disappointing report, and clear growth that the economy is decelerating.  It remains to be seen what, if any actions the Federal Reserve will take as a result of this report.  The FOMC doesn’t meet again until November 2-3, so they will have a little while to figure it out.

While many members of the Fed are in favor of additional quantitative easing, there appears to be increasing dissension in the ranks over the direction of monetary policy. Thomas Hoenig has been the lone dissenter from the last few Fed statements.  Yesterday Philadelphia Fed President Charles Plosser came out opposed to further quantitative easing saying that it was difficult to see “how additional asset purchases…will have much impact on the near-term outlook for unemployment”.  Stay tuned to see what happens.

There have not been any updates on the proposed legislation that would allow underwater homeowners to refinance their mortgages at the current market rate.  The proposal would enable borrowers who currently have federally-backed mortgages to refinance regardless of credit history, income, or loan-to-value ratio.  As things change I will keep you up to date.

Our Rates:

Among our most popular mortgages at Total Mortgage are FHA mortgages. FHA insured mortgages accounted for nearly 40 percent of all mortgages originated in the United States in 2009.  This increase in popularity is due to the somewhat underwriting qualifications for FHA mortgages and the lower down payment requirements than other sources of financing.  FHA mortgages only require a 3.5 percent down payment, far less than the 20 percent that is generally required by other banks. Qualified borrowers can get 30 year fixed FHA mortgages at 4.125 percent with a 5.293 percent APR.

You can also take advantage of record low rates with a Fixed rate mortgage.  Often, borrowers like fixed rate mortgages because they shift a lot of the interest rate risk in a mortgage to the lender.  Additionally, fixed rate mortgage payments remain constant over the life of the loan, so they are good for those on a fixed budget or income.  30 year fixed rate mortgages are available to qualified buyers at 3.75 percent with a 3.931 percent APR. A 15 year fixed rate mortgage is available at 3.5 percent with an APR of 3.854 percent.

For other borrowers, an adjustable rate mortgage (ARM) can be a great way to save money on monthly payments. ARMs offer some of the lowest initial interest rates of any kind of mortgage. 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. Borrowers need to be aware that there is an inherent interest rate risk with ARMs, and they are not suitable for all situations. The mortgage rate on an ARM resets after a fixed period of time (usually five years). You should always consult a mortgage expert before entering into any sort of mortgage agreement.

Mortgage rates change frequently. These rates were quoted as of 9:02 am on September 30, 2010.

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.