By Manuel Tovar, July 23 – Hispanic Solutions Group
Did you know that the key 30-year mortgage rate fell back to its lowest last February.
Today we will deal with the mortgage rate that has been collapsing in financial institutions. Hispanic Solutions Group, with the intention of guiding consumers better and better, the following report reaches you.
According to recent statistics, in a twist in the mortgage market, inflation is on the rise, but mortgage rates continue to drop alarmingly. The average rate on 30-year mortgages fell last week to 3.11% from 3.13% last week, according to a financial institution’s weekly survey of large lenders.
As you recall, approximately a year ago the average rate on a 30-year mortgage was 3.31%. Four weeks ago, the rate was 3.16%. The 30-year fixed rate average for this week is 0.23 percentage points below the 52-week high of 3.34%, and it is 0.18 percentage points higher than the 52-week low of 2.93%. The 30-year fixed mortgages in this week’s survey had a total average of 0.34 discount and origination points.
Over the last 52 weeks, the 30-year fixed has averaged 3.12%. This week’s rate is 0.01 percentage points lower than the 52-week average, it was reported.
• The 15-year fixed-rate mortgage rose to 2.43% from 2.39%.
• The 5/1 adjustable rate mortgage was flat at 3.25%.
• The 30-year fixed-rate jumbo mortgage fell to 3.27% from 3.28%.
At the current 30-year fixed rate, you’ll pay $ 427.56 each month for every $ 100,000 you borrow, down from $ 428.65 last week. At the current 15-year fixed rate, you will pay $ 663.50 each month for every $ 100,000 you borrow, compared to $ 661.62 last week. At the current ARM rate of 5/1, you’ll pay $ 435.21 each month for every $ 100,000 you borrow, unchanged from last week.
The results of the weekly national survey of a prestigious financial institution of large lenders carried out on July 14, 2021 and the effect on the monthly payments of a loan of $ 165,000 are:
|Weekly National Mortgage Survey|
|Breakdown||30 years fixed||15 years fixed||5-year ARM|
|This week’s rate:||3.11%||2.43%||3.25%|
|Change from last week:||-0.02||+0.04||NORTH INA|
|Monthly payment:||$ 705.47||$ 1,094.77||$ 718.09|
|Change from last week:||– $ 1.80||+ $ 3.09|
Where are mortgage rates heading?
Mortgage experts offer mixed predictions about the future of rates. In the survey of Bankrate This week (July 15-21), 50% said rates will stay the same, 42% predicted rates will rise, and only 8% said they will continue to fall.
“Inflation is accelerating and continues to surprise to the upside, but Fed Chairman Powell will still try to maintain the belief that it is ‘transitory,'” says Greg McBride, Bankrate’s chief financial analyst. “As long as the bond market reflects that belief, there will be a limited rise in rates. But if that changes it is worrying. “Surprise” is the keyword: nothing in the post-COVID.19 economy has been so long-awaited.
The mortgage market continues to defy predictions that rates will begin a slow but steady rise, they said. “You’d think that reports showing a sudden spike in inflation would be detrimental to the bond market and trigger a sell-off that would lead to higher yields and higher mortgage rates,” says specialist Michael Becker.
Refinances are big business with rates so low
Rates are a cut above all-time lows reached earlier this year, but refinancing remains historically excellent business. While the rate on 10-year bonds issued by the US government had hovered around 1.5% in the spring, it dropped to the 1.3% range in recent days. The 10-year Treasury is closely tied to 30-year mortgage rates.
Despite the week-to-week ebbs and flows, economists generally expect rates to rise by the end of the current year 2021. As mortgage rates are making a slow projected climb to the 3.5% range by the end of this year, the Decreased purchasing power could ease some of the pressure on home prices as marginal buyers are pushed out of the market, but competition will remain intense among those who can still afford to buy. Those looking to refinance should be able to find good deals for the rest of the year, albeit at slightly higher rates than the current level.
If you see a rate that meets your needs and budget, it may be time to refinance now.
THE IMPORTANT FACT. Bankrate’s National Survey of Large Lenders is conducted weekly. To conduct the National Average survey, Bankrate obtains information on the rates of the 10 largest banks and savings in 10 large markets in the US The survey has been conducted in the same way for more than 30 years.
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