Mortgage Rates Drop in Spite of Fed

In January of 2014, everyone was interested in what the Federal Reserve System was going to announce in regard to mortgage interest rates.  The Fed meets eight times a year and the Federal Open Market Committee (FOMC) follows with a public statement.  The big topic was where mortgage interest rates were headed following the Fed's analysis.  Arizona Mortgage Lenders are interested in anything relative to the direction of mortgage rates.  The committee analyzes what the Fed says about overall … [Read more...]

Mortgage Rates Drop in Arizona

Big news!  Arizona mortgage rates drop!  For months, the mortgage market has awaited September 18, 2013 to see what the Fed would do regarding their mortgage rate policy.  After waiting and guessing, expecting and anticipating the Fed shocked the market.  They surprisingly decided to continue purchasing mortgage backed securities rather than "tapering" their purchase program as many expected.  As a result, we saw mortgage rates drop. Big Ben and the Fed felt that our economy was not quite … [Read more...]

AZ Mortgage Rates – Comeback Story?

Arizona mortgage rates have slowly and steadily increased over the past 4 weeks.   In fact, 30 year fixed interest rates have gone up by approximately .5%.   Is a return to lower levels in store?  Let's take a look at what is in store for mortgage rates. Now, let's keep this in perspective - a 30 year fixed mortgage interest rate under 4.0% is still an outstanding and historically low mortgage rate.  With that said, potential buyer's and homeowner's looking to refinance have grown very fond … [Read more...]

“Operation Twist” mean Lower Mortgage Rates?

The Federal Reserve made an announcement today that pushed mortgage backed securities higher than ever before. The Fed Reserve announced "Operation Twist."  In short, the Fed decides to sell $400 billion in short term securities and reinvest that same $400 billion in long term securities - specifically mortgage backed securities.  This move will support current low (maybe even lower) mortgage rates. Why is this important to what you and I do?  In the short term it is significant because today’s … [Read more...]