Mortgage Rates Drop To Record Low

[sabra]

Source: CBS New/AP

30-Year Rates Plunge To 4.85 Percent After Fed Launches Effort To Aid Housing Market

(CBS/ AP) Rates on 30-year mortgages fell this week to the lowest level on record after the Federal Reserve launched a new effort to assist the staggering U.S. housing market.

Mortgage finance giant Freddie Mac said Thursday that average rates on 30-year fixed-rate mortgages dropped to 4.85 percent this week, from 4.98 percent last week. It was the lowest in the history of Freddie Mac's survey, which dates back to 1971 and was down a full percentage point from a year ago.

The previous record low of 4.96 percent was set in the week of Jan. 15. Rates fell after the Fed last week said it will pump $1.2 trillion into the economy in an effort to lower rates on mortgages and loosen credit.

Rates on 30-year mortgages traditionally track yields on long-term government debt.

Read more: http://www.cbsnews.com/stories/2009/03/26/business/main4894593.shtml?tag=topHome;topStories

[msongs]

1. call us when it gets down to 4% or lower nt

[DJ13]

2. FREE CANDY!

But first you have to prove to us you're perfect in every way.

[midnight]

6. How true.

[Mr. Hyde]

3. My GF was denied refinancing last week with a 670+ FICO.

We'll try again but I get the impression that this money isn't as readily available as they would like everyone to believe. We'll see.

[slackmaster]

4. 670 is mediocre. What was her LTV ratio?

(That's Loan To Value).

Was she hit by a drop in the value of her home?

[Mr. Hyde]

5. 670 is average. the only reason her score isn't perfect is because her exhusband

destroyed her rating before she could get him to sign the divorce papers. He fucked her over hard. And, yeah, her house was badly devalued during this crisis. It's so bad in fact that I'm thinking she should walk away from it. I'll be talking to my lawyer about it actually.

[slackmaster]

7. A friend told me yesterday that FICO scores have been lowered wholesale

I haven't checked mine (which was 795 in September '08), but he said his was about 100 points down for no apparent reason.

BTW - My aforementioned friend and his wife just refinanced their house near mine, and consolidated a business loan into one 15-year mortgage, $170,000 at 4.35%!