Mortgage Market Minute: Fixed Mortgage Rates Are Too Attractive to Ignore

Mortgage rates have hit their lowest point in almost 50 years. The truth is, some people have owned their homes for so long, they cannot even tell you what interest rate they are paying on their loans without looking it up. Those who bought a home a few years ago likely locked in a rate much higher than what is available today. There are still people paying hundreds more each month than they need to because they have not bothered to refinance. And, of course there are still folks who have adjustable rate loans. In California, a drop in rates can lower a homeowner’s monthly mortgage payment by a few hundred dollars, depending on the size of the loan. Unfortunately, gone are the days where prospective homeowners could show up without a single document verifying their income. Without question, the loan qualifying process has tightened up. Mortgage Interest Rates for Fixed Rate Mortgages* Rates as of Monday, 19th July, 2010: 30-Yr. fixed 360 4.50% 4.670% APR 15-Yr. fixed 180 4.00% 4.293% APR *Rates include 1 point origination fee and are subject to change due to market fluctuations and borrower's eligibility.