Mortgage Blog

From the recently history, the rate will bounce
back higher from this level. But this time
may be different.

We did see 4.75% 30 yr fixed rate for conforming;
4.875% to 5% for high-balance. This is the rate
we did not have for a long time. Though it's
useless for refinance except for those purchases,
it is indeed a good trend to follow.

The loan programs will rotate sometimes. We already
have ARM rates at history low again. The investors
should balance their portofolio and buy more
fixed loans. If that happens, the fixed rate should
go lower.

We will not see new low fixed rates. Nov 4-5th of 2010
rates should be the bottom rates. But we may be able
to see new low ARM rates again when more investors
are interested. Compared to long term bonds, the risk
for those ARMs are smaller.

Let's wait and see.