For home buyers, it is essential to get the financing paperwork completed and submitted fast to get pre-approved for a current lower rate mortgage.
Chicago, IL (PRWEB) May 28, 2014
The Federal Savings Bank wants readers to know that while many economists predicted mortgage rates would steadily climb throughout 2014, many Americans are still able to obtain purchase financing at a low rate.
Freddie Mac recently reported in its weekly Primary Mortgage Market Survey that the average interest rates for fixed rate mortgages hit a seven-month low in the week ending May 22. Additionally, the dropping rates marked the fourth consecutive week of declines.
The average interest rate for a 30-year fixed-rate mortgage was 4.14 percent, a decrease from the previous week's 4.20 percent. Compared to the previous year, the average is up from 3.59 percent. For 15-year FRMs, the average interest rate dropped to 3.25 percent, down from 3.29 percent the week prior and up from 2.77 percent last year. Interestingly, 1-year ARM loans are at 2.43% which is lower than a year ago.
Frank Nothaft, Freddie Mac vice president and chief economist, said that the decreases were accompanied by a drop in industrial production as well as increases for housing starts and permits. The latter two measures both exceeded expectations. While interest rates are low and other housing data is showing gains, now is a good time to buy a home for many Americans.
The Federal Savings Bank, a veteran owned lender, reminds its more applicants that home prices are still rising. For home buyers, it is essential to get the financing paperwork completed and submitted fast to get pre-approved for a current lower rate mortgage.
For information about how you can get a low cost mortgage, contact the Federal Savings Bank, a veteran owned bank.