Monday, September 8, 2008
What Does The Bailout Of Fannie And Freddie Mean For Mortgage Rates?
The government bailout of Fannie and Freddie had an immediate impact on mortgage rates today. Rates declined about .3 on average. Mortgage industry insiders I spoke with today expect rates to decline further, but of course, no one has a crystal ball. Rates are still comparable to historic lows, so if you've been sitting on the fence, now is a great time to buy. Investor lending has tightened much more than owner-occupant financing. So there are still going to be a lot of great deals out there for investors with high credit scores, cash, or access to mortgage brokers specializing in the investor lending market. For those looking to purchase a home to live in, many can still qualify for as little as 3% down.