Thursday, March 20, 2008
30 conventional mortgage rates have taken a sharp dip over the last week according to Freddie Mac's weekly rate survey. The average rate moved from 6.13% to 5.87% during the week, with Bankrate.com showing today's rate further improved at 5.66%. Such a move indicates that the several moves on part of the feds and regulators has indeed had a beneficial effect on liquidity. Hopefully that trend continues. At the same time, the jumbo mortgage rate is still problematic. The average rate on a jumbo loan which was at 6.4% in mid-January has risen to 7.12%. If the liquidity injection is indeed working, we should see a dramatic decrease in that rate. Such a decrease would be welcomed and beneficial to the NY Real Estate market.