Mortgage Blog

We see this all the time. The rate goes lower,
and some clients(only small percentage) wanted to
get lower rate. And a few months later, you find the
rate even lower.

And yes, today's rate is lower. Almost hit the history low
as we had before.

What's the strategy to handle this?
1)If you have a loan locked, please get it closed if you can.
Like I said, even if you switch to lower rate now.
It may not be the lowest rate you will have.
Fed will purchase bonds for 8 months. It should keep the rate
low.

2)If you decide to refi now, do you want to float or lock now?
This is a good question. But there is no harm to lock and secure
the rate. Though Fed plays an important role in the market,
there are some factors as well. Like tomorrow's job report,
it will affect the rates as well.

3)ARM or fixed.
Both rates are pretty good, you can make your own decision.
Personally I recommend fixed if you plan to stay in the house
for over 7 years. And it's cheap money for the long term.

What do you think?