A 30-year fixed mortgage averaged 4.14 percent, down from 4.19 percent during the same time last week. According to Zillow records, which date back to 2008, the 30-year fixed rate fell to a record low of 4.03 percent on Friday but moved up over the weekend.
The previous low was 4.07 percent in November 2010.
"Given the mental association of credit ratings with bond rates, many people initially think about the impact of the downgrade on mortgage rates," said Zillow Economist Stan Humphries, in a statement. "But that’s probably not where the initial damage will be felt. In fact, near-term, expect almost zero impact on mortgage rates."
Also on Tuesday, California Housing Finance Agency (CalHFA) announced it has decreased its interest rates to lenders in its FHA loan program, in the wake of bond yields reaching record lows after the Federal Reserve extended its low interest rate policy for two more years on Tuesday. For current CalHFA rates, go here.
When you consider buying or selling a home in San Diego ,Zillow’s rates based on thousands of mortgage quotes turned in daily from borrowers through the site.
The website also breaks down reported rates by state. It said the average 30-year fixed rate in California has been "stable" at 4.14 percent this week, down from 4.22 percent the previous week.
The lowest rate was 4.08 percent in North Dakota and the highest, 4.38 percent, was in Hawaii.
Standard & Poor's decision to downgrade government enterprise Fannie Mae and Freddie Mac has raised concerns about what it will mean for consumers. San Diego Association of Realtors President Bob Kevane on Monday said their lowered credit rating will make it costlier for the mortgage giants to do business, likely leading to higher rates for consumers, but that likely won't happen immediately Kevane said.
Even when if rates do increase, "I don't think it's going to change rates much," Kevane added.
Written by
No comments:
Post a Comment