Mortgage Rates up but still affordable

Mortgage Rates up but still affordable

On Friday 2-5-09 according to Freddie Mac a 30 year fixed rate averaged 5.25 % with an average 0.8 point for week ending 2-5-09. Which was up from the week before when it was 5.10 %. What people seem to forget is last year at this time it was 5.65%.

The 15-year loan this week averaged 4.92 % with an average 0.8 point, up from last week when it was 4.80 %. A year ago at this time, the 15-year loan averaged 5.15 %.

The National Association of Realtor's monthly affordability index rose to an all-time record high in 12-08 since records began in January 1971. As a result, pending existing home sales rose 6.3% in 12-08 and were up 2.1% from the previous December." Basically if you are keeping up on the rates and have been for awhile it is the best time to buy a house in the past 19 years. Rates are low and the prices on homes are dropping.

It is up to us as an industry to pass this important information onto the consumer. So if you happen to read this, please educate the public. Thank You!