Mortgage Rates Fall Again This Week, Hitting Another Record Breaking Low
Freddie Mac released the results of it's Primary Market Survey in which the 30 year fixed rate mortgage (FRM)averaged 4.78% with an average 0.7 point for the week ending 4/2/09, down from last week when it averaged 4.85%. Last year at this time, the 30 year FRM averaged 5.88%. The 30 year
FRM has not been lower in the life of Freddie Mac's weekly survey, which dates back to 1971.  

The 15 year FRM this week averaged 4.52% with an average 0.7 point, down from last week when it averaged 4.58%. 1year ago at this time, the 15 year FRM averaged 5.42%.  

Pending existing home sales rose 2.1% in February, marking the second increase in 3 months as potential homebuyers are taking advantage of historically low mortgage rates and falling home prices. Serving as a spur to sales, housing affordability reached an all-time high in Februaury 2009 since the series' inception in 1971.

 Source: National Realty News-Freddie Mac. 4/2/09




6 Reasons Why It's  a Good Time to Buy.
 The housing market is looking healthier. Here are 6 reasons why now is the time to jump into the market:
1) Uncle Sam is willing to help.
1st time buyers (anyone who hasn't owned a home in 3years) are entitled to a maximum $8,000 tax credit; Interest rates are at record lows; and the Federal Reserve  
is doing it's best to make mortgage loans available.
2) People have to live somewhere.
About 800,000 new households are formed each year.
3)Borrowers leverage their investment.
 If you put $10,000 into the stock market and it earns 10%, you've earned $1,000. If you put $10,000 down on a home and it's value increases 10%, you've made $10,000.
4)When prices come back up , you'll have instant equity.
5) Mortgage costs stay the same.
If you get a fixed mortgage , the monthly payment stays the same -while everything else goes up.
6) You own it!

Source: realtor.org/realtormag 3/30/09