News & Trends
November 5, 2020

FHA and Jumbo Mortgage Rates Just Hit Record Lows

We’ve continued to see low rates this season, spurring a huge increase in home purchase and refinance activity. Along with 15-year fixed-rate loans, jumbo loans and FHA loans on average have just hit new lows, according to the Mortgage Bankers Association survey. Whether you’re looking for a low down payment mortgage, a large loan, or even to refinance, now might be a great time to apply.

Low Rates are Here

The Mortgage Bankers Association reported that rates for the 30-year fixed-rate mortgage stayed at the same low figure, while rates for 15-year fixed-rate loans, jumbo loans, and FHA loans fell to all new lows. This resulted in a jump in refinances as people surged to make the most of the low rates. If you’re interested in refinancing or purchasing a new home, now is a great time to potentially benefit from low rates.

Purchase Applications have Slowed

Due to such low rates, the housing market has seen a huge increase in activity, with buyers launching into bidding wars and home inventory becoming scarcer. However, despite being up 25% from the year before, purchase applications fell 1% in the last week. Including refinances, mortgage application volume grew 3.8% from the week prior and an astounding 88% from the previous year. If you’re serious about purchasing your dream home, now might be the right time to jump in as other buyers begin to back away.

How to Get Started

Taking advantage of record low rates is simple when you speak to one of our experienced Loan Originators. They will demystify the process for you, answering any questions you may have, so that you can achieve your goals. Just contact us today and we can help you get started.

Source: https://www.mba.org/2020-press-releases/november/mortgage-applications-increase-in-latest-mba-weekly-survey