San Diego, CA (PRWEB) December 17, 2014
Mortgage rates fell to their lowest levels of the year yesterday and today, even after the FOMC announcement was released, CA mortgage rates barely budged from these levels. 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 have home loan plans for the near future.
The company takes a look at a report from real estate news website, Mortgage News Daily, which was published this December 17th. This report explains, “Mortgage rates rose at an acceptable pace today, following the FOMC Announcement and press conference. Rates are driven by bond markets (mortgage-backed-securities, to be specific) and bond markets make a big deal of digesting and reacting to Fed policy. The FOMC Announcement is the Fed's most official statement and has the biggest market moving potential of anything that occurs on a scheduled basis. All that having been said, the statement doesn't always merit the market movement its capable of producing. Sometimes markets don't react much at all.”
That same article continues, “Today produced something just slightly more serious than that, but nothing remotely close to its potential. Traders were somewhat surprised to see the Fed's lack of concern regarding the recent volatility surrounding oil prices, as well as their apparent willingness to consider hiking the Fed Funds Rate at the April 28/29th meeting. While the Fed Funds Rate is not a direct driver of mortgage rates, the two are interconnected enough that 'up is up' and 'down is down' in all but the strangest of historical examples.”
Blue Home Loans explains that the Fed’s somewhat positive assessment of economic potential prompted their current stance on when the rate hike will happen. Of course, the Fed letting on that the hike could happen as early as April next year forced most lenders to issue slightly higher rate sheets this afternoon. The MND article says, “The damage was limited by the fact that bond markets were already weaker in the morning. Combine all that with the fact that yesterday was the best day for rates in more than a year and a half, and there was a bit of headroom to soak up today's weakness. The net effect is a top tier rate that remains 3.875% for most and 3.75% for some (conforming, 30yr fixed).”
The team of mortgage professionals at Blue Home Loans advises that those who have been waiting for low rates to apply for a new mortgage loan should really consider that their window of opportunity may close sooner than they think. Of course, there is always a chance that rates could get better before they go up next year, but those who hold out for this are taking a big risk. Those who do want to avail of today’s lowest rates should definitely act quickly and either lock in on application or float their rates very carefully with a finger on 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 BlueHomeLoans.com or call 1-888-929-BLUE (2583) to speak with an experienced mortgage professional.
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