CA Mortgage Rates Jump Higher, Continuing Yesterday’s Weakness

Share Article

Blue Home Loans, Inc. comments on the recent mortgage rate movement reported by Mortgage News Daily and offers some insight for California homeowners and potential home buyers.

Mortgage rates moved out of the best levels of the year yesterday and today CA mortgage rates jumped even higher, continuing the weakness of the day before at an even quicker pace. Blue Home Loans, Inc., a full service California mortgage company that has been helping its clients to find the best home loan programs, the lowest wholesale mortgage rates, and the highest possible savings on their homes for many years, takes a look at the factors surrounding today’s mortgage rate trends and offers some advice for those who have home loan plans for the near future.

The mortgage company takes a look at the December 18th report from real estate news website, Mortgage News Daily. This article explains, “Mortgage rates moved higher at a much quicker pace today. This runs counter to the most widely-circulated weekly rate report from Freddie Mac, which indicates a new low for 2014. The Freddie data isn't wrong, just a little behind. Still, it's important for consumers to understand that today's rates are no longer the year's lowest.”

Blue Home Loans explains that the Freddie Mac report is usually a fairly good measure of rate levels for each week, and while discrepancies between the report and reality are common, they are only really a problem when there is significant market movement after the survey results are already in. The MND article continues to explain, “Considering that [survey results are usually in] by Tuesday, you may already be able to guess why such a survey is now outdated. Simply put, yesterday and today combined for the biggest 2-day move higher in rates since April. Today's adjustment was much bigger than yesterday's, and was completely unavailable to be counted in the survey.”

MND says, “In terms of rate quotes, the most prevalent conforming 30yr fixed rate for top tier borrowers was on the verge of moving down to 3.75% as of Tuesday (so it makes good sense that this week's Freddie survey was the best of the year), but moved back up to 3.875% yesterday. While 3.875% is still slightly more prevalent, we're closer to 4.0% being the runner up at most lenders.”

Blue Home Loans notes that despite the quick increase up from the best levels of the year, mortgage rates are not in terrible shape. They have simply gone back to levels seen prior the rate rally of the past week, where rates are nearer to low 4’s than high 3’s. Those who have been thinking of applying for a mortgage should still continue as planned, since rates have the potential to go back down again, if not this month, then possibly in January. Of course, anything could happen between now and then, but the best way for borrowers to ensure they have the best chance of getting great rates on their homes is by having their loan applications in process and keeping their eyes on market movement and fingers near the “lock button."

Blue Home Loans can help California borrowers who are looking for the best rates, lenders and loan programs to find exactly what they need so that they can take advantage of today’s lowest mortgage rates and save money on their loans. As the Blue Home Loans website states, “We make finding a loan simple because we have virtually every loan program available, regardless of the type of mortgage you are looking for. Whether you are dealing with bad credit, foreclosure, bankruptcy, or low credit scores, we can help you. It only takes us five minutes to find the right program that fits your needs.”

For more information on how Blue Home Loans can help California home loan borrowers get approved for their home purchase loan or refinance quickly, please visit or call 1-888-929-BLUE (2583) to speak with an experienced mortgage professional.

California Bureau of Real Estate -- BRE #01938557 NMLS #1162386

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Brandon Blue
Visit website