Mortgage Blog

Yes, the market rate is down recently. But it goes
the direction as it should go. That's why I can
predict the rate.

For the past 9 months, I predicted the ARM
rate would go down; then ARM rates bottomed;
then 15 yr fixed rate short term bottomed;
and 30 yr fixed rates should do lower(please
check my previous blogs if you like).

Now let's talk about the rates.
1)15 yr fixed rates bottomed at 3.25%
unless new coupon issued.

2)30 Yr fixed rates will be buttoned
at 3.75% for the short term.

Question 1, will both rates go lower;
My answer is yes. I think investors
should have new trading coupons this winter.

Question 2, should we wait or refinance now?
I have someone called or emailed to "break"
120 days waiting period and paying the penalty
to do another refinance. NO, please don't
do that. Why pay $5000 or more the penalty
for the rates you will get a few months
later. Also, you might be able to get lower rates.

So if you are doing a refinance with your agents,
please try to have the commitment to close the
transaction. Then wait for the next refinance
opprtunity. And we should and will have.