Mortgage Market & Rates

Columbus Mortgage Market: 8-(~ ……frown throwing up!!!! (I had to open my big mouth this morning)

Friends:

The market is going against us again this morning slightly but can’t give you a good reason why. Not enough to make rates go up yet, though but it’s close. Mortgage securities the wrong way, crude oil is up, dollar is down. CNN just reported the 5 most affordable cities in the country and the 5 least affordable cities to live. Here they are:

Most affordable: Indianapolis, then Detroit, Dayton, Youngstown and Akron.
Least affordable: New York City, then San Francisco, Honolulu, Santa Ana Calif, LA.

I think I like it right here.

Well, I had to open my big mouth this morning that this was boring….I guess boring wasn’t that bad, huh? It’s been a long time since we’ve had a mid day price change, either direction.

Couple things happened since this morning. Manufacturing report came out this morning and it was up and the Fed’s announced a large auction next week for mortgage backed securities. Both of these two reports drove up rate this afternoon.

Thanks!!! Steve

MORTGAGE TIP OF THE DAY:
When counting part time income for a borrower, the borrower must have a minimum of a two year track record with that employer then we take the two year average for qualifying purposes.

THOUGHT OF THE DAY:
Fish and visitors smell in three days.

TODAY’S FUN FACT:
Leonardo Da Vinci invented the scissors.

Rates: Thursday, 02-18-2010, 2:45pm

Loan Program Rate: APR*: Payment Estimates:

3/1 ARM** 3.875% (same) 4.423% $470.24 Interest and Principal
• Up to $1,000,000 purchase or refinance. Payment would adjust to $496.95 in 3 years (4.375% interest rate) if the rate were to adjust based on the current index rate
5/1 ARM** 4.250% (same) 4.330% $491.94 Interest and Principal
• Up to $1,000,000 purchase or refinance. Payment would adjust to $491.94 in 5 years (4.250% interest rate) if the rate were to adjust based on the current index rate
7/1 ARM** 4.500% (same) 3.875% $506.69 Interest and Principal
• Up to $417,000 purchase or refinance. Payment would adjust to $435.69 in 7 years (3.000% interest rate) if the rate were to adjust based on the current index rate.

30 Year Fixed 5.125% (+.125) 5.218% $544.49 Interest and Principal
• Purchase or rate and term refinance

30 Year Fixed 5.250% (+.125) 5.343% $552.20 Interest and Principal
• Cash out refinance***

15 Year Fixed 4.500% (+.125) 4.656% $764.99 Interest and Principal
• Purchase or rate and term refinance

15 Year Fixed 4.625% (+.125) 4.782% $771.40 Interest and Principal
• Cash out refinance***

Bond Money 5.000% (same) 5.636% $585.99 Int. & Princ. & Mtg Ins.
• First Time Homebuyer Bond Money + 1% origination fee

FHA Fixed 5.000% (+.125) 5.625% $592.05 Int. & Princ. & Mtg. Ins.
• Purchase or refinance

Jumbo Fixed 6.250% (same) 6.349% $2,6573.71 Interest and Principal
• 30 Year Purchase and Refinance over $417,000

LEGAL STUFF

• *APR – Annual Percentage Rate
• **ARM – Adjustable Rate Mortgage (rate may increase after consummation of the loan)
• ***Cash out refinance – Refinance means pulling out at least $2,000 or more or paying off a non-purchase second mortgage

All payments estimates above do not include amounts for property taxes and homeowner’s insurance premiums and your actual payment obligation will be greater.

Annual Percentage Rates and Payment Estimates quoted are based on a $100,000 loan amount except the 5/1 ARM, and Jumbo fixed loan amount is $418,000 and 20% down payment with the exception to the FHA and OHFA quotes which are based on a 3.5% down payment.

Qualifying Assumptions (unless otherwise noted): 45 day rate lock, $100K-$417K loan amount, credit scores 740+, Owner-occupied Purchase or rate/term refinance. Cash-out refinances (including paying off a non-purchase 2nd mortgage) could result in a slightly higher interest rate. The interest rates quoted are to serve as a guide only and may be different based on specific loan features. Please call for a specific quote.

We CANNOT lock in an interest rate on a loan with a voicemail or email. The customer MUST talk to the loan officer over the phone or in person before it can be confirmed. The market changes too frequently.
We recommend calling during business hours to make sure we have all the markets open and available.

ON THIS DATE IN HISTORY:
On this date in 1930 Pluto was discovered. He was sitting on a stool at Schwab’s when Walt Disney came in….actually it was the planet Pluto, the smallest, farthest and coldest in the solar system.

Stephen Wagner
Mortgage Lender since 1974
The Arlington Bank
4621 Reed Road
Columbus, OH 43220
Office: 614-486-9104
Cell: 614-271-0888
Fax: 614-486-4078