Rates Are Still Low

Rates are still low and actually were even lower than before. I've seen the 30 year fixed hit 5.0% with no points. They are also bring back some high loan to value(LTV) loans for first time buyer. FHA loans are still best way to go if you're buying with little money down. Purchase 97% LTV if you have excellent credit. If you're doing a rate/term refinance the max LTV is 96.50%. In additional to the upfront mortgage premium you will still have to pay PMI on loans above 80% loan to value.

I've got some rate sheets contact me if you want to compare some rates.

Where are the mortgage rates now?

So I checked the rates today just to see what's happening in the market and here are the rates:

45 day rate lock - 720 credit scores - $250,000 Loan amount - 75% LTV

30 Year Fixed Conventional 5.250% (0 points)
30 Year Fixed FHA 5.125% (0 points)
25 Year Fixed 5.25% (0 points)
25 Year Fixed FHA 5.125% (0 points)
20 Year Fixed 5.00% (0 points)
20 Year Fixed FHA 5.125% (0 points)
15 Year Fixed 4.625% (0 points)
15 Year Fixed FHA 4.50% (0 points)
10 Year Fixed 4.25% (0 points)
10 Year Fixed FHA 4.50% (0 points)

There you go! Any fees over that or higher rates than what you see....you're paying too much! SHOP AROUND AND FIND ANOTHER LENDER!

Should I go with a lender or broker?

I get this question all the time! The lender has limited options while the broker can shop around and find a program that's just right for you. If you're an average borrower you should go with a bank because they will have the FHA loans and conventional loans. Out of top banks a good choice is Bank Of America or Wells Fargo. I like Wells Fargo because I can still check their rate sheets and compare with other lenders. They always seem to be in the top when it comes to low rates and closing costs.
If you're a borrower with not so good credit you should probably go with a broker because a broker has access to lenders that can help you. Watch out for fees! Anything over 2%. RUN!

Before you work with any lenders or brokers you should google them and read some reviews.

SELLING A HOUSE IN THIS MARKET

Two weeks ago I put my parents house for sale. We've been getting a lot of showings but nobody's making any offers. With all these people on the house hunt you'd think the economy is just fine. The most surprising thing is how many people in their mid 20s are shopping around. Probably 80% of the showings were young adults. Out of that 80%...60% engaged and 10% married. Looks like some young adults are doing well in this economy. It's great to see that! :-)

Mortgage Loan Modification

So anyone benefiting from these mortgage loan modifications?

From what I see the process is very freakish slow. Banks have been modifying 30,000 - 40,000 monthly. That is very slow because there are millions who need it right now!

US Foreclosures over 3 million
December foreclosure filings were 349,519

These guys need to get on the ball and start rolling!!!!

Top modifiers:
Citimortgage, O’Fallon, Missouri
Saxon Mortgage Services, Irving, Texas
GMAC Mortgage, Fort Washington, Pennsylvania
JP Morgan Chase, New York, New York
Select Portfolio Servicing, Salt Lake City, Utah
Aurora Loan Services, Littleton, Colorado
Wells Fargo Bank, San Francisco, California
Bayview Loan Servicing, Coral Gables, Florida
Green Tree Servicing LLC, St. Paul, Minnesota
PNC Mortgage, Pittsburgh, Pennsylvania