Mortgage Rates

[Enchanted_Mama]

are they really going to head down to the 4's before all is said and done? What's your 'target' rate for refinancing?

We are currently at 6.325%. We have been unable to refinance until very recently, and now I'm not sure when to pull the trigger and go for it. I know we can get a better rate than we currently have, but I'm wondering just how low they are going to go. Thoughts?

 

[bicker]

For me, a key aspect would be whether or not there are points. If I have to lay out money, then it may not be worth it. We're struggling now with the quandary presented in this thread: http://www.disboards.com/showthread.php?t=2033690

With savings interest rates and the stock market doing so poorly, it might make more sense to pay down the mortgage rather than paying anything to refinance.

 

[ICF]

My current rate is 5 3/8% (which we've had since spring of 2003). If it got down to 4.5% I would probably start to look into it again.

When we bought our house in spring 2001 we were at 7.25%, we refi'd a year or so later down to 6.25% and then again another year later down to the 5.375%. Needless to say, our payments saw a nice drop by lowering it close to 2%. Neither refi had any points and closing costs were only $1K or so in both cases.

 

[RitaE]

I hope so. I'd love to refinance to a 15year in the 4's.


I saw a 4.75 the other day, but it had a bunch of lender fees attached to it that drove the APR up over 5%.

 

[Laugh O. Grams]

I may be wrong, but I heard the 4% rates were only for those who are first time home buyers. So much for visions of refinancing our mortgage dancing in my head...

 

[Darcy03231]

I have a 5% interest rate, which I got on a 15 year loan in 2003. It would have to go to 4% without points for it to be worth it to me.

 

[RitaE]

I may be wrong, but I heard the 4% rates were only for those who are first time home buyers. So much for visions of refinancing our mortgage dancing in my head...

It's not an official program. The Fed announced about a week ago that they'd like to manipulate the mortgage credit market to 4% mortgage rates in order to stabilize the housing markets - ie recreate the housing bubble in effect.

http://money.cnn.com/2008/12/04/news/economy/low_mortgage_rates/index.htm?postversion=2008120419

 

[Golf4food]

Manipulate away... we're currently building (permitting stages right now) so if they want to get things in place so we can lock in a 4.5% on our 30 year fixed then more power to them (or to us, actually).

 

[Allison]

I may be wrong, but I heard the 4% rates were only for those who are first time home buyers. So much for visions of refinancing our mortgage dancing in my head...

We just refinanced at 4 7/8%.