Jun. 1, 2008 - Mortgage rates on the move...up

Is now the time to lock?

Several days ago I received an email from one of my mortgage contacts with the following messsage, "...over the last 4+ months where 30 year fixed rates were consistently below 6%. With the recent movement today, rates have drifted up to 6.00% (at a slight cost of .25 points) and are sitting at 6.125 (no points) for a 30 year fixed (mortgage).  These same rates were as low as 5.75% to 5.875% for the better part of the last 4 months and as recently as a week ago."

Who knows where rates will go next?  The news media sights inflation fears for reason for last week's rise in rates.  If you find a reasonable deal now, could it be worth risking a deposit to lock it in for a month or two, if you can?  Only you can determine that.  You should know that as a rule of thumb, for each $100,000 you borrow, an additional tenth of a percentage point on your mortgage rate will add about $2,300 to the total amount of interest you will pay over the life of the loan.

Check current rates at: Bankrate.com, Century21Mortgage.com, WellsFargo.com or Zillow Marketplace.com

Let me introduce you to a choice of several mortgage advisors to discuss your borrowing needs without obligation.  Contact me at mjadams@century21.com today.