» Mortgage Insurance » Mortgages Rates Shoot Up
Auto Insurance Life Insurance Health Insurance Family Insurance Travel Insurance Mortgage Insurance Accident Insurance Buying Insurance Housing Insurance Personal Insurance Medical Insurance Property Insurance Pregnant Insurance Internet Insurance Mobile Insurance Pet Insurance Employee Insurance Dental Insurance Liability Insurance Baby Insurance Children Insurance Boat Insurance Cancer Insurance Insurance Quotes Others

Mortgages Rates Shoot Up

Mortgages Rates Shoot Up

Mortgage rates shot up this week with the 30 year rate moving from 4.81 to 4.94

. Rates also moved up substantially last week. So now in the last two weeks rates have moved from 4.71 to 4.94. This is highest the 30 year rate has been since November 5th. Although the other mortgage products have moved up in the last two weeks they have not risen as dramatically as the 30 year rate. Below are rates from the weeks from Nov 19, 2009 to Dec 17, 2009

Dec 17, 2009

30-fixed 4.94 15-fixed 4.38 5-ARM 4.37 1-ARM 4.34

Dec 10, 2009 Mortgages Rates Shoot Up

30-fixed 4.81 15-fixed 4.32 5-ARM 4.26 1-ARM 4.24

Dec 03, 2009

30-fixed 4.71 15-fixed 4.27 5-ARM 4.18 1-ARM 4.25

Nov 26, 2009

30-fixed 4.78 15-fixed 4.29 5-ARM 4.18 1-ARM 4.35

Nov 19, 2009

30-fixed 4.83 15-fixed 4.32 5-ARM 4.25 1-ARM 4.35

For the last few months the 30 year rate has always been the obvious choice. Since 30 year rates have risen .23 points in the last two weeks while 15 year rates have only risen .11 points and the 1 year arm has only risen .10 points, now it's becoming less obvious. I would still think 30 year rates is still probably the default choice for most homeowners there are probably rare circumstances where it might make more sense to look at a 15 year fixed mortgage or to look at a 5 or 1 year arm. If one is sure that they are going to move in a few years it might then make sense to look at other options. If one is not sure what they are going to do then with rates still historically low its probably better to lock in long term with the 30 year rate.

In addition to straight mortgage rates it's always good to look at actual mortgage payments. We took today's rates and used a mortgage calculator to translate them into a payment on a 200,000 loan. We also did the same thing with rates from December 3rd and June 18th.

Dec 17

30-year $1066.32

15-year $1517.74

5-year ARM $997.98

1-year ARM $994.44

Dec 03

30-year $1038.47

15-year $1506.58

5-year ARM $975.7

1-year ARM $983.87

Jun 18

30-year $1120.56

15-year $1570.15

5-year ARM $1069.97

1-year ARM $1067.53

Looking at the 30 year mortgage a payment on a 200k mortgage has increased $27.84 a month for an increase of 2.68 percent. So while rates are still low by historical standards they are somewhat higher than two week ago when rates hit an all time low.

So what are rates going to do moving forward? Although rates are expected to rise long term after rising so quickly in the last two weeks its likely we could see a bit of a pull back in rates. Long term though we should expect to see rates substantially higher in the next year or two.

by: Ki Gray
Why Home Loan Modification Is A Better Option Than Refinancing How To Write A Mortgage Modification Hardship Letter Refinancing At The Time Of Variable Rate Mortgage Adjustment Can't Keep Up With Mortgage Payments? Learn How Loan Modification Can Helo The Benefits Of Loan Modification How Does A Reverse Mortgage Work Take Action Now To Prevent Losing Your Home To Foreclosure Getting A Mortgage Easily Deficiency Judgment Foreclosure - Know Its Different Forms What Is Passive Income And Why Is It Key To Unlimited Wealth? Reverse Equity Mortgage - Who Is Eligible Creating Unlimited Wealth And Freedom Through Passive Income Reverse Equity Mortgage - How Much Money Do I Get
Write post print guest:  register | login | search IP( / Processed in 0.012434 second(s), 6 queries , Gzip enabled debug code: 60 , 2909, 965,
Mortgages Rates Shoot Up