Delaware Mortgage Rates Weekly Mortgage Market Update for September 3, 2012
Delaware mortgage rate weekly mortgage market update for the week of September 3, 2012, by John R. Thomas with Primary Residential Mortgage in Newark, DE. John is the Newark branch manager and the author of the book, Your Guide to Buying Your First Home in Delaware. Call 302-703-0727 to get a free mortgage planning consultation or APPLY ONLINE for Delaware mortgage loan
Delaware mortgage rates dropped significantly on Friday as the mortgage bonds soared along with Stocks, Bonds, Gold, and Oil. The markets all soured on news from Jackson Hole Economic Policy Symposium held Friday, August 31, 2012, which has been held every year since 1978. Federal Reserve Chairman Ben Bernanke pretty much said that QE3 is coming because of how bad the US economy is doing that it needs further stimulus. The news of Quantitative Easing Round 3 sent the markets sour.
The same thing happens in August 2010 when at Jackson Hole speech Bernanke pretty much said QE2 was coming. But remember Bonds soured on the news and mortgage rates went lower but when the Feds actually instituted the policy in November 2010 rates moved higher and did so for the next 6 months. The Feds could act much sooner this time and institute QE3 at their September 13, 2012 meeting. What this means to the consumer is NOW is the time to LOCK in your Delaware mortgage rate.
We are also recommending LOCKING in your rate ahead of Thursday’s speech by ECB President Mario Draghi. There is a sense that ECB will announce a big bond-buying solution to Europe’s debt problems. This news would be optimistic and could help stocks rallying and potentially cause bonds to sell off forcing mortgage rates higher. The problem with this idea is Germany is still against any bond-buying program so I am not sure how the ECB will pull this off.
In other housing News, the Federal Housing Finance Agency announced that they are raising fees that Fannie Mae and Freddie Mac charge to deliver loans starting in November 2012. These fees are called Guarantee Fees and are the fees charged by both Fannie and Freddie to guarantee loans. The fees are increasing by about 10 basis points. Lenders will pass these fees on to borrowers by increasing the interest rate. So if the rate today is 3.875% then in order to pass this fee along to the consumer lenders will offer 4% now or charge the borrower about 0.125% to get the same rate in discount points.
I am recommending LOCKING in your Delaware Mortgage Rate if you are closing in the next 30 days to take advantage of the lowest rates ever in history! Call 302-703-0727 to schedule a free mortgage consultation to get pre-approved for a mortgage to purchase a home or to refinance your existing mortgage to lower your rate and save thousands of dollars in interest. There are several special governments refinance programs to help underwater Delaware homeowners refinance. There is the FHA Streamline Refinance Program, the VA IRRRL Streamline Refinance Program, and there is the HARP 1.0 and HARP 2.0 refinance programs. Call us or e-mail us now to get more information or you can APPLY ONLINE.
The next Free Delaware First Time Home Buyer Seminar is Saturday, September 22, 2012, in Newark, Delaware and Tuesday, September 25, 2012, in Dover, Delaware. Register by calling 302-703-0727 or Register online at http://www.delawarehomebuyerseminar.com/
The next Free Maryland First Time Home Buyer Seminar is Saturday, September 8, 2012, in Towson, Maryland. Register by calling 410-412-3319 or Register online at http://www.MarylandHomeBuyerSeminars.com
If you would like to apply for a Mortgage Loan, you can APPLY ONLINE HERE, you can call John Thomas at 302-703-0727.
John R. Thomas – NMLS 38783
Certified Mortgage Planner – Primary Residential Mortgage, Inc.
302-703-0727 DE Office / 610-906-3109 PA Office / 410-412-3319 MD Office
248 E Chestnut Hill Rd, Newark, DE 19713