March 2

Did I really accept to job of Gala Chairman for my son’s school? No, no , no..there must be some mistake, right? Well, its March 31st..and I am now wondering what planet I was on that day 8 months ago when I agreed…………Over the weekend I will be writing live auction procedure and volunteer job descriptions.
So what is happening in the markets? Rates are steady, unchanged now for 2 weeks . Houses are getting multiple offers, and agents are knocking on doors to purchase houses not listed for sale (happened to me personally this week). Buyers are out there, as I mentioned last week.
Do you remember a year or so ago I said that FHA wants to lower the seller concession to 3% or $6,000 max? Probably not. Well, the comment period ends March 26. It would reduce the concession, and also, the credit could NOT apply to insurance, hoa fees, or. prepaid interest. If you would like to comment, go to www.regulations.gov . You MUST refer to docket number FR-5572-N-01. This would surely change our industry and force homeowners to wait to buy homes until they save more money.
Enjoy the weekend!


RATES as of March 2, 2012 (UNCHANGED for the week)

The following assumptions apply:
• 20% Down Payment (Conforming) / 25% Down Payment Jumbo (Lower down payments available – call for details)
• 1% Origination Fee
• Escrows Required (if no escrow, higher fees may apply)
• Purchase Transactions, Primary Residence (Refinances have different rates)
• 30 day closing
• Credit Score 740 +
• Debt to income ratio <=40%
• Full Documentation of Income/Assets

Conforming ($200,000* - $417,000) Jumbo ($417,001- $1,000,000*)
10 year (fixed) 2.875% APR 3.189% 15 year ( fixed ) 3.750% APR 3.946%
15 year (fixed) 3.125% APR 3.343% 30 year ( fixed ) 4.250% APR 4.363%
30 year (fixed) 3.875% APR 4.000%
7/1 ARM 2.875% APR 3.227% 5/1 ARM 3.000% APR 3.307%
7/1 ARM 3.125% APR 3.330%
5/1 ARM 2.750% APR 3.233% 10/1 ARM 3.750% APR 3.690%

FHA/VA call for quote (max loan $270,000) 5/5 ARM 3.125% APR 3.047%