Mortgage Blog

If history repeat, then Feb rate should
be better than Jan.

For the past 30 days, the interest rates
were stuck within the range. Though 5/1ARM rate
is almost close to the history low, the other rates
are still aroudn 0.375% to 0.5% higher. For 30 yr
fixed, we had one day with the rate of 4.625%(no cost;
400k loan; impound), and it had difficulty to break
this thick wall.

I still remembered the 1st of Feburary, one escrow
officer called me and asked how I was doing, I told
her that I did not get any busines within that
week. And the interest rate was also heading higher
from end of Nov to beginning of Feb.

But to everybody's surprise, 2010 turned to be
the best year for the interest rates and the
business for the loan originators.

But this year is different. We can tell that the
economy is improving and the worst is over. So most
likely, we will not see lower low rates any more.
But I still think we should be able to get better
rates. If we don't see a break through in Feb, then
we will have to say good-bye to the good rates
the rest of this year.