West Valley Properties

The lowest mortgage rates of 2011 are standing firm after the latest Feds report and despite mixed news that would normally create a rally.

Todays lowest 30 year fixed mortgage interest rates are at 4.250%, 15 year fixed mortgage interest rates are at 3.500% and 5/1 ARM loans rates are at 2.750%. In order to receive these low conforming mortgage rates with 0.7 to 1% origination fee, borrowers must have a history of good credit and also be able to produce the required documentation to receive lender approval.

Current FHA mortgage rates continue to be competitive with conforming mortgage rates with only slight differences. FHA 30 year fixed mortgage rates are at 4.250% which is the same as conforming 30 year fixed mortgage rates. FHA 15 year fixed mortgage rates are at 3.750% and FHA 5/1 ARM loan rates are at 3.000%. With FHA mortgage loans, credit qualifying is easier and down payment requirements are lower. On the other hand, FHA closing costs (APR) are higher due to applicable FHA fees and the upfront mortgage insurance premium. Nevertheless, with the current low FHA mortgage rates, FHA mortgage loans are still popular, especially with first time home buyers.

High end borrowers can still take advantage of the low jumbo mortgage interest rates that continue to hang around. Todays jumbo 30 year fixed mortgage interest rates are at 5.000%, jumbo 15 year fixed mortgage rates are at 4.500% and jumbo 5/1 ARM loan rates are at 3.625%. These are the lowest jumbo mortgage rates available with 0.7 to 1% origination fee to borrowers who have excellent credit. Jumbo mortgage loans are necessary for mortgage financing above the conforming loan limit.

Current Wells Fargo California 30 year fixed mortgage interest rates are at 4.500% (4.686% APR).

MBS prices (mortgage backed securities) are up +5/32 (FNMA 30-yr 4.0 at 100.26) which is lower than an earlier high of +12/32. According to FHFA, U.S. home prices rose slightly from March to April. The Mortgage Bankers Association reported that mortgage applications dropped last week while the National Association of Realtors reported that existing home sales were down for the month of May. According to the Feds, the economy is growing slower than anticipated as it continues with its plans to end its Treasury bond buying program at the end of this month.

FreeRateUpdate.com surveys more than two dozen wholesale and direct lenders’ rate sheets to determine the most accurate mortgage rates available to well qualified consumers at a standard .07 to 1% point origination fee.