Hoboken Mortgage Rates Jump To 9%

This letter was emailed to me by Ted Shirm from Met Life...

Rates Jump to 9%

Happy April Fool's Day!!!!

Now that I have your heart rates up to optimal levels let's realistically discuss what is happening. Yesterday the Fed finished buying Mortgage Backed Securities having spent the last of their $1.3 trillion. Over the past couple of weeks multiple analysts have forecasted a rate movement from .25% to .75% (up). 2 weeks ago I was at MetLife's Club trip. (a little plug for myself: I was ranked in the top 6% in the nation for 2009) One of the speakers discussed where we will see rates going over the next month.
His forecast was that we will still see a 5 in front of rates for some time. Although the government will cease buying mortgage backed securities they have set a new policy that should help keep rates lower by making the private sector more comfortable with purchasing the Mortgage Securities. This new program will guarantee all new mortgages that go through Fannie Mae and Freddie Mac for three years. This will ease concerns of investors in the private sector (hopefully) and they will feel comfortable buying mortgage backed securities.
Today we did see a movement up in rates. Here is where they stand today.

Please note that these rates assume a 740+ credit score and the property type as a condo. There are no points charged for these rates.

Loan amounts up to $417,000
30 Year Fixed 20% Down: 5.25%
30 Year Fixed 25% Down: 5.125%

Loan Amount Above $417,000
30 Year Fixed 20% Down: 5.375%
30 Year Fixed 25% Down: 5.25%

Ted Schirm Jr.Sales Manager
2009 President's Club Member
MetLife Home Loans
908-403-6429 - phone
410-308-6334 - Efax