Oct

CA Mortgage Rates are At or Near All-Time Lows

By admin

Are you contemplating a new home purchase or refinance in CA?

Is your interest rate on your current CA mortgage at or above 6.00%? Well, take a minute to read this:

According to Freddie Mac, mortgage interest rates in CA, and nationwide for that matter, have recently dropped to near all-time lows in most areas and within a fraction of their all-time lows in others. This is your chance to lock in that long-term CA mortgage rate you have been waiting for. In our lifetime, we may never see rates at these levels again.

Miss this great opportunity and it may never come along again. And you could miss out on your chance to save thousands of dollars over the life of a home purchase or refinance mortgage loan.

The reasons to act now are numerous. Here are a couple glaring down upon us:

The Federal Reserve implemented a mortgage-backed securities buying program which has basically just artificially lowered mortgage interest rates and the program is nearing its end. It’s scheduled conclusion was to be on December 31, 2009, though it has been extended through early next year. Once the level of the Federal Reserves purchasing participation wanes, CA mortgage rates will inevitably be forced back up to levels seen before the program started, possibly back up to the area of the 6.500% range…and it will happen fairly quickly and without notice to the consumer.

Another major factor to take into account will be inflation. Though it is currently being fairly well contained, it will likely show its ugly head as all the stimulus monies from Washington continue to poor into the financial systems to shore up the economy. The end result will most likely cause increasing inflation pressure and fear across the board with the possible impact of rising mortgage rates in California and across the country.

With home prices down to attainable levels not seen in years, and as it is unlikely that CA mortgage interest rates will be at these at or near all-time low levels again, it’s time to take advantage of them today while you still can before they are long gone.

Look forward to my next posting!