Mortgage rates bounced back today, recovering the ground they lost in yesterday’s move to 3-month highs. Today then, is the second worst day in 3 months, at least for those who don’t need a long lock time frame (more on that below). 4.625% continues to be the most prevalently quoted rate for ideal, conforming 30yr Fixed scenarios (best-execution) for normal lock time frames.
So what’s with this mention of “lock time frames?” It has to do with the recently announced increases to the Guarantee Fee imposed by Fannie and Freddie’s conservator the FHFA. There seems to be a lot of confusion and even lack of awareness both in the consumer and originator communities about the very real damage this may have already done to your rate quote. Let’s clear that up, or begin to anyway.
Senior Director, Coldwell Banker New Homes Division
With over 200 condominium, townhome and loft projects successfully marketed
“Fewer properties for sale with such remarkably low interest rates make it a great time to sell but a more difficult time to buy”