Mortgage Rate Update 10/24/08

Mortgage rates fell a bit across the board this week on reduced concerns about inflation; the 30 year conforming loan fell a quarter point, while the 30 year FHA rate fell an eighth. CHFA rates fell the most, taking 3/8ths off last week's rate, ending at 5.875%. While inflation concerns are easing, fears of a recession seem to have replaced them; with the dismal job report and consumer spending on the downturn, it certainly seems like a recession is coming. The bad thing about that is, we won't know until it's over. The definition of a recession is two quarters of declining growth, but it'll take analysts a while to determine if growth has been shrinking for 6 months. Until then, here are this week's rates:

Friday, October 24th, 2008

All rate quotes are for a 60-day lock with 0 points

Conforming limits are up to a $417,000 loan limit*


30 yr conforming fixed: rate = 6.125% APR = 6.347%

15 yr conforming fixed: rate = 5.625% APR = 5.889%

7/1 yr conforming ARM: rate = 6.000% APR = 6.225%

5/1 yr conforming ARM: rate = 5.625% APR = 5.801%

30 yr FHA Fixed : rate = 6.375% APR = 6.661%

30 yr CHFA w/ 1 pt : rate = 5.875% APR = 6.118%

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Jumbo loan limits range from $417,001 to $1,000,000*

30 yr jumbo fixed: rate = 6.500% APR = 6.752%

15 yr jumbo fixed: rate = 6.000% APR = 6.245%

7/1 yr jumbo ARM: rate = **** APR = ****

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CHFA (Connecticut Housing Finance Authority) rates for the week of July 14 - 20, 2008:

Homebuyer Mortgage Plan:
Interest rate: 5.875 % (APR range 5.975 - 6.375 %)
Fees: Up to One Point (1% Origination Fee) * Payable to Lender
Term - 30 years, fixed rate

Downpayment Assistance Program (DAP)
(Rate listed is for DAP loans with Homebuyer Mortgage Program financing.)

Interest rate: 5.875 % (APR range 5.975 - 6.375 %)
Fees: Up to $200 Application Fee * Payable to Lender
Term - 30 years, fixed rate

(NOTE: If at any time the interest rate for the Homebuyer Mortgage Program exceeds 6%, the DAP interest rate will be capped at 6%.)

* Additional fees may apply


*Conforming loan limits listed above are for a single-family owner occupied residence.
Courtesy of The Harriman Team and William Raveis Mortgage

*All rates are subject to change. Minimum down payment and credit score requirements may apply.