Helping Washington State homeowners learn more about their mortgage options.
Woooo whoooo SEAHAWKS!! Okay, I know that winning the NFC Championship against the 49er’s has nothing to do with mortgage interest rates… I just couldn’t help myself 🙂
This week’s economic calendar is very light. Markets, as well as our office, were closed yesterday to observe Martin Luther King Day.
Let me start by saying there’s nothing wrong with having an FHA insured mortgage. FHA mortgages have been a resource for first time home buyers and borrowers who lack significant down payment since their inception 40 years ago…. BUT with the increases to the upfront and monthly mortgage insurance premiums and the reduced loan limits, many borrowers could be better off considering loans other than FHA.
When I’m working with a home buyer who’s considering an FHA mortgage, here are some of the other mortgage programs I suggest they consider:
USDA has published updated income limits for their zero down mortgage program which is available in rural areas. Other mortgage programs, like FHA or conventional, has loan limits which limits availability. USDA does not have loan limits, the program is restricted by household income.
USDA offers a government backed program that allows zero down payment on homes that are in a designated rural community for families earning less than a certain income. A majority of Washington State single family residences (homes and condos) qualify…of course if you live in metropolitan areas like Seattle or Bellevue, odds are your home will not. However, if you’re considering areas like Duvall, parts of Maple Valley, Vashon or Bainbridge Island, it may qualify for zero down financing.
Mortgage rates are improved following Friday’s disappointing Jobs Report.
Mortgage rates are based on bonds (mortgage backed securities) which can react in reverse to stocks. If stocks are on a hot streak, you may see investors trade of safety of bonds for the potentially quicker return found in stocks (the reverse is also probable). Signs of inflation may also cause mortgage rates to trend higher.
Here are the economic indicators scheduled to be released this week (no indicators are scheduled for today):
I began in the title industry in 1986 and then moved to my mortgage career in 2000. Thanks for creating this graph, Zillow, illustrating that rates truly are and have been at historic lows. During 2014, I expect we’ll see mortgage rates trend higher although still remain “historically low”…just not a the levels many have became accustomed to.
This week we’ ll be watching for the minutes from the last FOMC meeting and the Jobs Report as they may impact the direction of mortgage interest rates. It’s anticipated that employers added 197k jobs in December. Here are the economic indicators scheduled to be released this week:
The Washington State Housing Finance Commission has announced changes to income limits for some of their down payment assistance programs.
Earlier this week I met with my team at Mortgage Master to review goals for this year. This past year at the company has been great. I added a Loan Officer Assistant, Crystal and our main office moved to a beautiful new office in a more central location. Mortgage Master has also added to their management team, which has been beneficial by providing extra support to our mortgage originators. I’ve added additional tools to what I offer clients as well and I’m eager to start better implementing them into our services. I am constantly reviewing and trying new programs with the goal of helping clients have better tools and information to help make informed decisions for their mortgage needs.
Rhonda Porter is a Licensed Mortgage Originator MLO121324 living in the greater Seattle area. Rhonda began her career in 1986 in the title and escrow industry and began her mortgage career in 2000. She enjoys helping people understand the mortgage process and started writing The Mortgage Porter in late 2006. Read More…
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