Mortgage Rates at Lowest Levels in Several Weeks
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Mortgage Rates at Lowest Levels in Several Weeks

No conversation about mortgage rates would be complete without a reminder that some lenders are very far removed from the averages. Moreover, even a lender is offering rates that are in line with today's average, that may have been a completely different story at various points in the past. 


With that out of the way, yes, the average lender is now offering the lowest rates in several weeks for top tier, conventional 30yr fixed scenarios.



Speaking of top tier, how about some more caveats?  As soon as we start adding risk factors to the mix, rates (or upfront loan costs) rise abruptly.  In many cases, lenders aren't even offering certain combinations of factors anymore.  For instance, if you were hoping to get a cash-out loan, that's quickly become much more expensive and in some cases impossible (at certain lenders).  Similar story with lower FICO scores and investment properties.  

The increased costs and decreased credit availability will continue to be an issue for the mortgage market.  It will likely get worse before it gets better and we'll need to see the breadth of the forbearance issue before having any hints of a shift in those trends.  But for the average "top tier" borrower, things aren't too bad.  You'd have to go back to at least April 9th to see lower rates.  Most lenders are now in the low 3% range.  FHA/VA rates are still frustratingly high for many lenders.  ARMs aren't even a consideration.  15yr fixed rates (which had been much higher than normal relative to 30yr rates) are finally starting to come back down for many lenders, but remain inexplicably elevated for others.  

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