Aug 12, 2009
FHA Loan Rates - Mortgage Rates Headed towards 5.75%?
AUTHOR: Colin Keller
FHA loan rates are likely to move up in the next few weeks because average 30 year mortgage rates are moving up as well. Over the last week we have seen mortgage rates move from 5.05% to 5.5%. This is a huge jump but it was to be expected as the 10 year treasury yield has moved up greatly in the last few weeks. When the 10 year yield moves up it is almost a given that we are going to see average mortgage rates move up as well. Knowing this, if you plan on refinancing or buying your first home, it would be very smart to speed up the process now rather than later.
You have probably seen advertisements all over the Internet and television for mortgage rates under 5%. If you want to get lower mortgage rates it would be wise to give some of these companies a call and see what they can offer you. If you wait a few months or even a few weeks, you might be staring at mortgage rates in excess of 6%. Most of the ads lead to an 800 number where you can contact a representative. You might not want to give the representative all of your financial information but it may be wise to at least call them and see what they can offer you.
Congratulations on taking the first step in getting a low mortgage rate. By doing the research you are well ahead of most people in your financial position. The next step is to get out there and actually contact some of the lenders who are still advertising mortgage rates under 5%.