(MA) 617-297-8641 (RI) 401-641-5774

Contact@MandrellCo.com

All posts tagged Letter

Boston Home Loan Rates Tick Down A Bit

Freddie Mac (OTCQB: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), showing average mortgage rates moving lower for the third consecutive week.

News Facts

30-year fixed-rate mortgage (FRM) averaged 4.09 percent with an average 0.5 point for the week ending Jan. 19, 2017, down from last week when it averaged 4.12 percent. A year ago at this time, the 30-year FRM averaged 3.81 percent.

15-year FRM this week averaged 3.34 percent with an average 0.5 point, down from last week when it averaged 3.37 percent. A year ago at this time, the 15-year FRM averaged 3.10 percent.

5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) averaged 3.21 percent this week with an average 0.4 point, down from last week when it averaged 3.23 percent. A year ago, the 5-year ARM averaged 2.91 percent.

Average commitment rates should be reported along with average fees and points to reflect the total upfront cost of obtaining the mortgage. Visit the following link for the Definitions. Borrowers may still pay closing costs which are not included in the survey.

Looking for home financing information? Click the ink below.

 
Click Here to Find Local Lenders

Read more

FHA Reduces Monthly Insurance Rates | What Does That Mean For Home Buyers?

January 13, 2017 By Chris Graves, Mortgage Broker

The beginning of the new year comes with some BIG news for first time home buyers. FHA announced reduced monthly mortgage insurance rates for FHA loans starting January 27, 2017. This will reduce monthly payments for FHA buyers or allow them to qualify for a higher priced home. Here’s what you need to know about this change.
New Reduced Monthly Mortgage Insurance Rates for FHA Loans

The mortgage insurance rate on FHA loans is based on a the purchase price, down payment amount, and term. Most FHA buyers obtain a 30 year loan for under $625,500 and make a down payment of less than 5%. In this case, the monthly MI rate drops from 0.085% to 0.06% per month. On a $400,000 loan, this results in a $100 per month savings. Buyers making a down payment of 5% or more will see rates drop from 0.08% to 0.055%.

For loan amounts above $625,500, the savings is even greater. Loans with 5% down payment will drop from 0.1% to 0.06%. Lower down payment loans will change from 0.105% to 0.06%. On a $700,000 loan, this results in a $315-$420 per month savings.
Effective Date of Reduced Monthly MI Rates

In the past, FHA home loan changes were dependent upon the date that a case number was issued. This is not the case with the reduced monthly mortgage insurance rates for FHA loans starting January 27, 2017. All loans disbursed on or after that date will receive the new lower rate. The date that funds are disbursed is not always the same as the closing date. Contact your lender for details. If you have a loan scheduled to close this month, it may be worthwhile to look into altering the closing date in order to receive the new reduced monthly mortgage insurance rates.

Want to learn more? Need to get pre-approved? Learn more about Chris Graves Mortgage Services @ http://chrisgravesmortgageexpert.com

Read more