West Valley Properties

Current mortgage rates remain low and stable, but could come down further this week as investors are seeking safety after reacting to further disappointing news being released out of Europe.

Steady for some time, conforming mortgage rates continue to be a great deal for borrowers. Todays 30 year fixed mortgage rates are at 4.250% and 15 year fixed mortgage rates are at 3.500%. Still below 3.000%, conforming 5/1 ARM loan rates are at 2.750%. With a history of good credit, borrowers can obtain these low mortgage rates with 0.7 to 1% origination point. In addition, documentation for items such as assets and verifiable income is necessary in order to receive lender approval.

FHA mortgage loans continue to be the major choice of borrowers. With easier credit qualifying, FHA also offers lower down payment requirements that can be as little as 3.5%. Current FHA 30 year fixed mortgage interest rates are at 4.250% and FHA 15 year fixed mortgage interest rates are at 3.750%. FHA 5/1 ARM loan rates are at 3.000%. Borrowers can also combine approved gifts and housing grants with FHA mortgage loans to further reduce the down payment. On the other hand, the upfront mortgage insurance premium and other applicable FHA fees tend to make FHA closing costs (APR) higher.

With the higher conforming loan limit that has been in place for quite some time, jumbo mortgage rates have remained low and available for high end borrowers. Todays jumbo 30 year fixed mortgage rates are at 5.000% and jumbo 15 year fixed mortgage rates are at 4.500%. Jumbo 5/1 ARM loans rates are at 3.625%. It is necessary to have excellent credit to obtain these lowest jumbo mortgage rates with 0.7 to 1% origination fee. Other verifiable documentation must also be available to receive lender approval.

Current Wells Fargo California 30 year fixed mortgage interest rates are at 4.625% (4.812% APR).

Today, investors are pushing MBS prices up +12/32 which is higher than earlier pricing of +8/32. Mortgage rates move in the opposite direction of MBS prices. With a move to safety, the Dow is down 150 points. Current European issues over the debt crisis in Spain and Italy has investors around the world concerned. Here in the U.S., worries over the debt ceiling deadline is also creating a rally in MBS markets. It will be a busy time with MBS markets as economic news continues to be released this week which could possibly push mortgage rates lower.

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.