Hell0l,
As fellow investors I wanted to get your feedback on info released the other day by
Freddie Mac.
How do you think this will effect the current market?
Will it affect the way you are investing?
As Reported with growing concerns about inflation from mortgage backer Freddie Mac, the 30-year mortgage rates moved up this week above 6.00%
As reported by Freddie Mac 30 year fixed rate mortgages averaged 6.08% from last week and rates have continued to deteriorate even further this week. But the rates are down from last year at this time when the average was at 6.42% for a 30 year fixed rate.
“Mortgage rates drifted up this week over market concerns that the Federal Reserve Board may raise short-term rates later this year,” said Frank Nothaft, Freddie Mac vice president and chief economist, in a statement. Concerns about inflation are causing the food and energy prices to rise.
On Thursday the average price for a gallon of gas passed $4 per gallon in 11 states, while oil prices rebounded to about $125 a barrel as supplies fell sharply. Another report from the Labor Department showed that new applications for unemployment insurance rose last week. And the housing market continues to deteriorate. A report on Tuesday showed that US home prices fell 14.1% in the first quarter, which was the sharpest decline in 20 years.
Another report by the Census Bureau report found that NEW home sales remain near a 17year low. Rates on five-year adjustable-rate mortgages (ARMs) averaged 5.62 percent this week, with an average 0.5 point, up slightly from last week when it averaged 5.61 percent. A year ago, the 5-year ARM averaged 6.19 percent.
Mortgage Interest Rates*
Rates as of 05/29/2008:
SUPER JUMBO SPECIALS:
Super Jumbo Land Loans up to $10 Million, 80% LTV, 3 Year Interest Only, 5.0%
Super Jumbo Speculative Construction Loans, 75% LTC, Interest Only, Prime Rate (5%) + 0%