Although mortgage rates had been steadily decreasing for quite some time now, they may be on the rise again, much to the chagrin of homeowners that have been waiting for even lower rates before they refinance. Unfortunately for them, the opportunity may have passed.
Some mortgage brokers have reported a dramatic increase in mortgage rates, as much as 1 percent on Wednesday, and the trend does not appear to be reversing any time soon. April featured record low mortgage rates, a phenomenon that may have come as quickly as it has gone.
Rebounding mortgage rates may be a consequence of the nation’s …read more

The national average 30-year fixed mortgage rate has increased from 5.21 percent to 5.24 percent over the last week, according to Bankrate.com’s weekly survey. Regardless of this small gain, mortgage rates are still at all-time lows, having plunged from 6.77 percent last October.
Analysts generally agree that mortgage rates will remain relatively low for the rest of 2009, thanks to investors’ concerns about the weak economy. Continued government purchases of government and mortgage-backed debt should also help to keep mortgage rates low for the rest of the year.
This makes now an ideal time for those who are currently paying off a …read more

How bad have things been for the mortgage-lending industry? The business’ leading trade association reports that mortgage banking firms actually lost money in 2006 on the average mortgage loan they produced.
 
The 2007 cost study released this October by the Mortgage Bankers Association reports that mortgage-banking production profits fell to negative-$50 per loan made in 2006. Yes, that’s right, negative-$50. That’s down from a production profit of $258 per loan in 2005.
 
The biggest reason, according to the association, is that production operating expenses grew by a whopping 17 percent in 2006. It cost mortgage bankers an average of $3,416 for each …read more