Current Mortgage Rates

Current mortgage rates have been treading down lately because of lower Treasury prices. The decline in both mortgage rates and Treasury prices have been brought on by the Federal Reverse Bank stimulating the economy with low interest rates.

The Fed Funds rate has been in a target range of 0% to one quarter percent since late last year when the credit crises hit and the recession started.

Current Mortgage Rates

Freddie Mac, the Mortgage Bankers Association, MonitorBankRates.com and BankRate.com and all reported mortgage rates being up this past week but still low according to historical standards. 30-year mortgage rates are still hovering around the five percent range.

I remember when fixed rate 30-year mortgages were in the double digits, in the 1970’s my parents had a mortgage rate of 12.75 percent on a split level ranch in Southern California.

Today’s mortgage rates are a lot lower, both conforming mortgages and jumbo rate mortgages are in the five percent to six percent range. Adjustable rate mortgages are also very low these days, currently you can get a three-year conforming adjustable mortgage rate for around 4.70 percent. Five-year adjustable rate mortgages are even lower at around 4.60 percent this week.

A neighbor of mine just did a mortgage refinance, they plan to move in a couple of years so they got an adjustable rate mortgage. They are paying a mortgage rate of only 3.99 percent on a five-year ARM. They actually lowered the monthly mortgage payments by $800 per month.