Larger Mortgages Have Larger Interest Rates

While it is true that for most parts of the country home sales are down, home sales for more expensive homes have had an even larger drop due to the higher interest rates for larger mortgages.  A Jumbo Loan was previously considered a loan of $729,000 or more.  The three main lending and home mortgage instutiions, FHA, Fannie Mae and Freddie Mac are considering lowering the Jumbo amount somewhere around $650,000.
A recent article by Walter Molony at realtor.org states that  “the latest existing-home sales data shows transactions under $400,000 are 3 percent below a year ago. However, sales of homes …read more