30-Year Mortgage Rate Rises Slightly To 3.32%
By Bobby Freeman, Florida Realtors® // December 3, 2012
BREVARD COUNTY, FLORIDA – Last week, mortgage buyer Freddie Mac announced that the average rate on a 30-year loan edged up slightly to 3.32 percent. Previously the rate was 3.31 percent which was the lowest ever recorded.
The average 15-year fixed mortgage rate was up to 2.64 percent from 2.63 percent.
The Federal Reserve started buying mortgage bonds in September to encourage more borrowing and spending which has helped keep the rate at a record low.
The low mortgage rates have helped increase home sales this year locally and nationally. The National Association of Realtors said that its index measuring the number of people who signed contracts in October to buy homes jumped to nearly its highest level in almost six years.
Lower rates also have persuaded more people to refinance. That typically leads to lower monthly mortgage payments and more spending.
“Although some homeowners inquire about reducing their remaining mortgage term to a 25, 20 or 15 year mortgage; most are requesting to refinance and reduce their monthly payments,” says Stephen Thaggard, a senior loan officer on Merritt Island.
“Its easy to do with interest rates this low. In fact, most of the calls we are getting are for the HARP 2.0, VA IRRRL (interest rate reduction refinance loan) and FHA streamlines. These mortgages allow the home owner the opportunity to enjoy a much lower rate and payment, without having to get an appraisal,” said Thaggard.
ABOUT THE AUTHOR
Bobby Freeman, a life-time resident of Brevard County, has been a top Realtor in the area for two decades. In his first year as an agent, Freeman received a Rising Star award from his Brokers. Since then he has achieved numerous sales awards and has recently been presented with the prestigious RE/MAX Hall of Fame Award.
Freeman, Jennifer McCoy and Nikki McCoy Freeman are family partners for RE/MAX Elite’s McCoy-Freeman Group. Together they have more than 30 years of extensive experience in all aspects of the real estate industry and have sold over $150 million. Among McCoy-Freeman Group’s achievement are RE/MAX Hall of Fame, RE/MAX 100% Club, Certified Distressed Property Experts (CDPE), Accredited Buyer’s Representative (ABR) and voted Best Realtor in Brevard County. The group has been featured in many news publications including CNN Money Magazine, CNNMoney.com, WFTV 9 ABC News, Coastal Condo Living, & Hot Retirement Towns Magazine and SpaceCoastDaily.com.
For more information log on to BrevardRealtyConnection.