San Diego, CA (PRWEB) August 11, 2014
With the currently weak domestic economy, outside influences have taken on a greater significance when determining which way mortgage rates will move. This continues to be the case at the start of this week, as what appears to be growing Ukrainian drama has kept rates from continuing the move higher from last Friday. Blue Home Loans, Inc., a California-based full service mortgage company that has been helping CA residents find the best rates and loans available for many years, has been keeping track of these recent mortgage rates trends and now comments on the current situation and offers some advice for those who are not sure how to proceed with their home loan plans.
An August 11th report from Mortgage News Daily offers further insight into the current situation with mortgage interest rates. It says, “While mortgage rates didn't enjoy as strong of a move lower as US Treasuries last week, they were nonetheless right in line with their best levels since late June. Any time bond markets make an abrupt move to highs or lows, there's a risk that the subsequent move will be a correction back in the other direction. This is the case even if the longer term trends remain unchanged. It's also especially true in cases where the market movement is fueled by unscheduled headlines, such as those surrounding the various geopolitical conflicts around the world last week.”
That same article goes on to further explain, “In short, with Friday seeing a small bounce back toward higher rates, there was a risk that we'd turned a corner. Refreshingly though, markets held their ground fairly well today, and many lenders are unchanged from Friday's latest levels. On average, rates are only modestly higher. The most prevalently-quoted conforming 30yr fixed rates for top tier borrowers remains 4.125% with 4.25% almost equally as common.”
Blue Home Loans explains that the fact that mortgage rates did not go further up could be an encouraging sign of lower rates to come. However, the fact that they have not moved down past the bottom of the range for so long could also signal that it is time for a bounce higher – and it could be a very big bounce. Because of this, the risk still outweighs the reward when it comes to floating, at least in the short term.
Those who have longer lock periods ahead could consider waiting things out to see if rates can improve further, but those who are near to closing should weigh the risk and lock in if they feel they would not be able to handle a short term increase in rates. For those who are just getting started with their loan application, it is important to remember to look for the best loan program for their situation, and not only focus on the rate that they could get. Some lenders will offer lower rates, but higher closing costs and other fees, and this is something that must be taken into account when trying to save money on a home loan.
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 says, "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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