CA Mortgage Rates Get A Small Reprieve After Worst Day For Rates In Over A Year

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Blue Home Loans, Inc. comments on the recent activity in mortgage rates reported by Mortgage News Daily and offers some insight and advice for California homeowners and new home buyers.

Bond markets breathed a sigh of relief after today’s FOMC minutes were released showing a more accommodative stance from the Fed than what had been expected. As a result, CA mortgage rates got a small reprieve after yesterday’s rout and managed to avoid climbing higher and bringing back 4.0% as a viable 30yr fixed rate quote for top tier scenarios. But mortgage rates are not out of the woods yet. California full-service mortgage company, Blue Home Loans, Inc., has been helping clients to gain the maximum amount of savings on their home loans for many years and now takes a look at the recent activity in mortgage rate levels and gives some advice for those who have home loan plans for the near future.

The California mortgage company takes a look at the report from real estate news website, Mortgage News Daily, posted this February 18th, 2015, which says, “Mortgage rates caught a bit of break today, logging the first meaningful improvements in the entire month of February. The gains weren't much better than those seen at the end of last week, but after yesterday's absolute rout, they were a much-needed reprieve. Yesterday saw rates move higher at the fastest pace in more than a year, and any additional weakness today would have threatened to reintroduce 4.0% as a viable 30yr fixed rate quote for top tier scenarios. That figure instead remains at 3.875% with an aggressive lender or two closer to 3.75%.”

This same article goes on to say, “Is that the end of February's relentless weakness? Unfortunately, it's too soon for such conclusions. Way back on February 3rd, I wrote that we were in the midst of a "fairly strong move higher" and that it "should be taken seriously." That continues to be the case, and will only stop being the case when the strong move higher is conclusively defeated. It could turn out to be the case that today is a turning point in that regard, but we'll need more confirmation before considering February's uptrend to be defeated.”

Blue Home Loans explains that while today’s move was small, it was still meaningful. A step in the right direction, even if it is just a baby step, should be looked at with cautious optimism. Because the Fed’s stance on accommodation has such a major impact on current and future mortgage rates, the fact that the minutes showed the Fed was willing to continue its support while the economy slowly grows is very encouraging. Now all that would be needed for mortgage rates to continue this new move back down would be for European headlines to cooperate.

Whether today’s move is just a temporary reprieve or the start of a broader bounce lower, those who are looking for the best CA home loan deals will want to apply for their loan as soon as they are able to. Blue Home Loans advises that those with active loan applications will be in the best position to lock in any gains that may be apparent in the weeks to come or, in the worst case scenario, be able to lock in to prevent further losses if rates start to rise again. In either case, California mortgage borrowers who want the highest chance of finding the best mortgage rates in California can put their trust in the mortgage experts at Blue Home Loans, Inc.

Co-owner of Blue Home Loans, Brandon Blue, says, “I love the personal satisfaction that I receive when I am able to save my clients both time and money--getting them the best deal I possibly can on their home loan. Whether you are looking to purchase your dream home, or want to save money on your existing home, feel free to give me a friendly phone call. I promise that you will not be given some cheesy sales pitch, and that I will listen to your mortgage needs without utilizing any high pressure sales tactics.”

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 BlueHomeLoans.com or call 1-888-929-BLUE (2583) to speak with an experienced mortgage professional.

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

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