Video Update:

Mortgage Interest Rate Update – August 27th, 2024 (youtube.com)

 

TODAY’S RATES & HOUSING NEWS

Interest rates improved approximately .1%
with the Mortgage Backed Security (MBS)
market trading up + 37 bps over the
past 7 days.

The big market mover last week was
Fed Chair Powell’s Jackson Hole
Speech. In the speech, Powell states:

“THE TIME HAS COME”

He states that “The time has come
for policy to adjust. The direction of
travel is clear, and the timing and
pace of rate cuts will depend on
incoming data”

My interpretation of Powell’s words are
that there will be a FED rate cut on
September 18^th. We don’t know
the size of the rate cut. Remember,
the market has already priced in a 25
bps cut.  If the FED lowers the Federal
Funds Rate 25 bps, I don’t predict a
huge change in interest rates.

This is a great start as Powell has also
stated in the past that rate cuts will be
a process and not a one time event.
An initial rate cut will likely create more
rate cuts in future FED meetings.

This is what we’ve been waiting on
for 2 years. We are finally going to start
seeing it and this is the first domino to
fall to hopefully get mortgage rates back
into the 5%’s. Some well qualified clients
can already get in the 5%’s today,
especially with FHA and VA loans.

The big potential market mover this
week is Friday’s PCE Inflation Report.

Below are Mortgage News Daily’s
average interest rates across the country.
There are a lot of characteristics that go
into a mortgage rate – credit score,
investor, loan to value, loan amount, costs, etc.

Please call me to go over your specific
scenario so we can price your loan
out accurately.

OR reply to this email with the answers
to the questions below for Mortgage
Options for your scenario.

REFINANCE QUOTE:

Goal of Refinance – Lower Payment, Cash Out, Etc:
Address of Home:
Estimated Value Of Home:
Current Loan Amount:
Loan Amount You Would Like to Finance:
Current Rate:
Do you know what type of Loan you are Currently in – FHA, VA, etc:
Estimated Credit Score:
Are You a Veteran or Active Member of the US Military: 
If you are a Veteran, do you get VA Disability:

PURCHASE QUOTE:

What City and State Are You Looking to Buy In: 
Estimated Purchase Price:
Loan Amount You Would Like to Finance:
Will Property be a Primary Residence, Investment Property, or Vacation Home:
Estimated Credit Score:
Are You a Veteran or Active Member of the US Military: 
If you are a Veteran, do you get VA Disability:

Thank you!

NEW PRODUCT ALERT –
HOME RATEBREAK
GET A 2% LOWER RATE
WITHOUT CONCESSIONS

Breaking News – 2/1 Buydown with No Concessions (youtube.com)

Exciting news for Homebuyers.  We now
have the ability to offer HOME RATE BREAK –
A game changing affordable lending product
to put homeowners in a position to get an
initial rate in the 3%’s and save $1,000’s of
dollars in mortgage payments.

The 2-1 Buydown has been a popular
lending product over the past 2 years.
A 2-1 Buydown is when a client gets
a 2% lower rate the 1^st year, and a 1%
lower rate the 2^nd year.  This product
saves a client a substantial amount
of money over the first 2 years BUT,
in order to get a 2/1 buydown the client
needed a 2.1% seller concession. This
is when the Seller gives the Buyer
approximately 2.1% of the purchase
price to pay for costs.

We now have the ability to offer this
product with NO CONCESSIONS
FROM ANYONE.

Here is what it takes to qualify.

-620 Minimum Credit Score
-Minimum 3% Down Payment (can put more down)
-Income Limit of 80% Area Median Income – we can look up for you
-Maximum Loan Amount of $350,000
-Primary Residence Purchase

Let’s take a look at what this could do
for a client on a $350,000 loan.

Regular Loan

5.99% Interest Rate
$350,000 Loan Amount
Payment of $2,096.18 + taxes/ins

Home RateBreak 1^st Year

3.99% Interest Rate
$350,000 Loan Amount
Payment of $1,668.94+ taxes/ins

Home RateBreak 2^nd Year

4.99% Interest Rate
$350,000 Loan Amount
Payment of $1,876.74 + taxes/ins

That is over $7,760 in payment
savings in the first 2 years.
Game changer!

Call me if you would like to see
if you or your clients qualify for this
exciting new Home Affordable
Lending Product.

Have a great week!