Checking the average mortgage rates reported by the MBA, Freddie Mac and Bankrate for the week ending June 13 2014…
Another week has flown by and I am still working on making changes on the website. This week’s focus was updating some of the Community Information pages and the links on the pages with information about schools in the Anderson area.
But enough about that. Let’s jump in and see what the MBA, Freddie Mac and Bankrate.com said were the average mortgage rates for the week ending June 13 2014:
Freddie Mac Reported:
- 30 year fixed-rate mortgages averaged 4.20%
- This is up from last week when it averaged 4.14%
- Last year at this time, 30 year fixed-rate mortgages averaged 3.98%
- 15 year fixed-rate mortgages averaged 3.31%
- This is up from last week when it averaged 3.23%
- Last year at this time, 15 year fixed-rate mortgages averaged 3.10%
Check out the chart showing mortgage rates from Freddie Mac:
The average rate for a 30 year fixed-rate mortgage rose 2 basis points to 4.34%
The average rate for a 15 year fixed-rate mortgages rose 2 basis points to 3.43%
The average rate for a 30-year jumbo mortgage rose 6 basis points to 4.41%
The Mortgage Bankers Association Reported:
The average contract interest rate for 30 year fixed-rate mortgages with conforming loan balances ($417,000 or less) increased to 4.34% from 4.26%, with points increasing to 0.16 from 0.13 (including the origination fee) for 80% loan-to-value ratio (LTV) loans.
The average contract interest rate for 30 year fixed-rate mortgages with jumbo loan balances (greater than $417,000) increased to 4.27% from 4.22%, with points increasing to 0.12 from 0.11 (including the origination fee) for 80% loan-to-value ratio (LTV) loans.
The average contract interest rate for 15 year fixed-rate mortgages increased to 3.43% from 3.39%, with points increasing to 0.22 from 0.07 (including the origination fee) for 80% loan-to-value ratio (LTV) loans.
The Take Away:
First let me say…
Do Not Panic!
Yes rates increased across the board. Remember…
These Are the AVERAGE Mortgage Rates!
You might do better or you might pay a higher rate. It really depends on your credit, the type of mortgage you select, your down payment and much more.
We heard all the predictions that mortgage rates would increase this year. Many economists thought that mortgage rates would rise as a response to the Federal Reserve tapering Quantitative Easing. And the fact that rates did NOT rise left many people scratching their heads.
Now, as we are seeing more improvement in the economy, it appears we could see mortgage rates start to increase.
However, no one knows what tomorrow will bring. It could be higher mortgage rates.
And more importantly, no one knows what is best for each home buyer.
Buying a home could make sense for some but not others.
Home buyers just have to be aware that home prices have been increasing steadily. Sure the rate that home prices have been increasing has slowed down.
But home prices have NOT stopped increasing!
If you combine rising mortgage rates with rising home prices, it makes it imperative that anyone serious about buying a home get on the ball. My suggestion for home buyers is to call the mortgage professional of their choice and schedule an appointment.
Not saying home buyers should panic or rush their decisions.
Just that dragging their feet could prove to be more expensive than it needs to be!
As always, I am providing this to you for informational purposes only! I am not a mortgage lender and you should contact the lender of your choice directly to learn more about its mortgage products and your eligibility for such products.