Scottsdale Mortgage Rates for January 2, 2008
Mortgage Related News This Week
This week, the Federal Reserve announced implementation details of their plan to buy up to $500 billion of mortgage backed securities from Fannie Mae, Freddie Mac and Ginnie Mae.
Only fixed-rate Mortgage Backed Securities that are guaranteed by these 3 GSE’s are eligible for purchase while products such as adjustable rate mortgages and jumbo loans are not.
$500 billion is a huge number — probably big enough to cover most of the 2009 mortgage backed securities agency supply for 2009 and so it is difficult for me to see how mortgage rates don’t go lower – possibly solidly into the 4% range that everyone seems to be talking about.
When will mortgage rates be lower — Monday? Tuesday?
That part, I don’t pretend to know – I can just say that in my best estimation, the trend and macro pressures seem to point toward lower mortgage rates in the future.
And of course – just like those experts you see on CNBC…
I reserve the right to “change my mind”.
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Interesting to see the differences between mortgage rates and what banks are actually lending at. Seems to still be a bit of disparity, I’m sure 2009 will ease the credit crunch a little.
Ryan Philipenko – Edmonton Real Estate Blog
@Ryan,
Thanks for stopping by — You just mentioned what I am sure many loan officers wished for as their “New Years Wish” — for an ease to the credit crunch!
Right after I posted this, where did rates go? Slightly up of course…
But I still generally see them trending lower.
And I think I have an exactly 50% chance of being right.
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