Interest rates
NYT says interest rates on 30-year mortgages went up to 5 percent today. Is this like those “average” gasoline prices of $2 or $2.30? What are the real rates for borrowers with credit scores over 750 buying houses in Brooklyn? And will they go up, when, and by how much?
NYT says interest rates on 30-year mortgages went up to 5 percent today. Is this like those “average” gasoline prices of $2 or $2.30? What are the real rates for borrowers with credit scores over 750 buying houses in Brooklyn? And will they go up, when, and by how much?
Rabbit:
Congrats on the commitment letter from the bank! You are almost there!
Hey Mopar–I sent you an email yesterday about our situation. We’re in contract at Halsey/Lewis (just got our confirmation letter from the bank today!!) and totally excited. Just on this thread, we’ve got 5.37 percent interest on an FHA loan. Send me an email when you get a chance.
will they go up? yes
when? yesterday
how much? almost a point over the past two days
Mopar:
My insider source was right (see thread http://bstoner.wpengine.com/brownstoner/archives/2009/05/chase_turns_off.php): rates are going up quickly.
http://www.bankrate.com/finance/mortgages/mortgage-analysis.aspx
bmfesq:
The banks obviously don’t want you to refinance. Their requirements have been much more stringent. I am also struggling with my refinancing. Hope it will go through though.
l,
your revised analysis sounds right. If you are going to trade up, leverage works against you in a down market. Those who won’t need to try to trade up because they bought all they want or need are more immune.
I take it back. I’m wrong. You recapture your losses on the next purchase if prices go back up. But because the bank gets paid back first you won’t be able to roll over equity into down payment onto the next place if prices have declined. So the danger is not failure to recapture losses (eventually) but not having down payment if you want/need to move (ie being locked in underwater).
Eh Dumbasses! Did you see my posts yesterday????? The Bond Market has gone Tango Uniform! Everyone is getting out of 10 & 30 year Treasuries and buying the short end! Plus insurance of MBS has blown out out!
Buh bye Retards! The Mutant Asset Bubble is collapsing!
The What
Someday this war is gonna end…
True DIBS: But if you sell in that timeframe and prices have declined there is a dead loss you don’t recapture on your next purchase (assuming you financed). If you are an all cash buyer it’s a wash.
People who sell in 3-7 years typically do so to buy another home either relocating or trading. Its still a purchase primarily as a home and not an investment.