Austin Mortgage Rate Update

Posted on Friday, February 20th, 2009 at 6:04pm.

by Ben Morton Rates stayed relatively the same this week; however, notice the increase in the Jumbo ARM. While Conforming rates stay low as the government continues to purchase 5.0-5.5% mortgage backed securities, Jumbo loans are still portfolioed and the rate reflects the lender’s risk. Part of the increase in rate, or risk, on Jumbo loans is that appraised values nationally haven’t gained much ground. So, down payment requirements on Jumbo loans has increased from 10% to 15%. The economic stimulus bill passed and there is an up to $8,000 tax credit for first time home buyers; the bill does include income limitations to receive the credit. For now, rates are as follows: CONFORMING 30 Yr Fixed 5.000%, 1 pt. 15 Yr Fixed 4.625%, 1 pt. JUMBO 7 Yr ARM 6.1, 1 pt. Note: The Austin Mortgage Rate Update is provided by Ben Morton. Great Austin Properties, LLC does not receive any monetary gain nor do we guarantee the rates quoted above. We provide this information to you to help keep you informed of the Austin market.

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