We've had a little bit of time to digest what this bailout / takeover / expansion of government - whatever you want to call it - means for the world of mortgages going forward. It will certainly bring stability and create some sort of a floor or foundation for us to move forward. Over the last six months we've seen mortgage rates hit a low, stop and then radically turn upward on a few occasions. The windows to grab low rates have been really small; sometimes a matter of hours. This was likely because investors buying bonds didn't have any certainty about the stability of the entire market.
Our hope going forward is that the interest rate drops we see will be more sustained. However, my advice to homeowners who are considering a refinance or homebuyers considering a purchase is this -- work with a lender who understands the markets, don't be greedy about rates and get your application in so that you have the ability to lock quickly if the market does happen to turn.
I will continue to post about Fannie Mae and Freddie Mac and what it all means to you, as we learn more. For now, we can at least say that we've gone from a pending implosion in the mortgage market altogether to a much more positive outlook.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment