Real Estate Toronto Canada

Mortgage rates are getting better today. Yesterday’s FOMC (the Fed) meeting ended without any bomb shells dropped. The Fed sees signs of improvement in the labor market, but the key line was – “economic conditions, including low rates of resource utilization, subdued inflation trends, and stable inflation expectations, are likely to warrant exceptionally low levels of the federal funds rate for an extended period.” With rates for the big banks staying at the 0-.25% range they have been in all this year, rates for mortgages should stay low for some time. But not necessarily as low as they are now. The Fed also reaffirmed that they will be finishing up their program of buying mortgage backed securities by the end of the first quarter of 2010. This program has been a big reason that rates have dipped to historic lows. Estimates are that this Fed support accounts for up to 1/2% in interest rates. In other words, without this factored in, mortgage rates would be half a point higher. At some point the market will readjust, probably before the Fed stops the buying program, and if new investors don’t come into the market to offset the Fed, rates will rise. So rates are absolutely great, but get them while you can because these low rates won’t last forever.

In today’s news, initial unemployment claims came in higher than expected (bad news for the economy but good news for mortgage rates), on the other hand, the Philadelphia Fed report came in showing higher growth than expected. The warm feelings from the Fed news release and the unemployment increase held more weight. Mortgage bonds are rallying and mortgage rates are about an 1/8 better today than they were yesterday.

Here are the current Chicago Illinois Home mortgage rates for an A+ (740 Fico or above), full doc single family home purchase or rate/term refinance on a 45 day rate lock, with 0 points, and no origination fee. Mortgage rates in other states may be slightly different, give me a call and I will give you an accurate quote for your particular situation. The conventional and FHA rates are based on the highest conforming loan amounts, which give the best pricing. Again, there are many factors which affect mortgage rates and your ability to be approved for a loan. These rates may not fit your situation and this is just a sample of the programs that are out there. If you would like a quote for your personal situation, or to get pre-approved for a mortgage, give me a call or contact me (Illinois mortgage company) and I’ll take the time to find the rate and program that is best for you:

Conventional loans up to $417,000

For Jumbo loans over $417,000

(Another option is to break your Jumbo loan into 2 parts – conventional to the limit of $417,000 and a HELOC or fixed second mortgage for the rest. The blended rate is usually much better than a single loan would be.)

FHA LOANS – 3.5% down payment – FHA Maximum varies by County

FHA APR reflects 3.5% down payment and the effect of mortgage insurance on the loan. Call for information on no-cost FHA streamlined Refinances   

FHA 203K Rehab Loans

VA Veterans Administration 0 Down Loans

Call for information on no-cost VA Streamlined Refinances

These are just a few of the mortgage programs and mortgage rates available. Which option is best for you depends on your own specific goals and needs. If you have any questions or want to go over your situation in depth, let me know how I can help.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Downers Grove Mortgage Company