Conforming Mortgage Rates (loan amounts up to $417,000 for 1-unit properties). The conforming rate quote below is based on owner occupied with a mid-low credit score of 740 or higher, “full doc” purchase with a sales price of $500,000 and a loan amount of $400,000 single family dwelling (non condo). This scenario includes reserves (taxes & insurance) not being waived. Rates quoted are priced based on a 30-40 day closing with no prepayment penalties on any of the rates quoted below.
30 Year Fixed @ 1 Point: 5.125% (APR 5.283%). 
0.25% to rate from last week’s post.
15 Year Fixed @ 1 Pt: 4.500% (APR 4.764%). 0.375% to rate.
10/1 ARM 5/2/5 CAPS w/1 Pt: 4.625% (APR 5.885%). New to RCG rate post (or at least, it’s been a while).
7/1 ARM 5/2/5 CAPS w/1 Pt: 4.500% (APR 6.257%). 0.500% to rate.
5/1 ARM 5/2/5 CAPS with 1 Point: 4.125% (APR 6.483%) 0.125% to rate. ~ Priced with 0 Points: 4.625% (APR 6.534) same rate as posted last week.
Conforming High Balance Rates. Pricing is based on the same criteria above except where the loan amount is $417,001 – $567,500 for properties in King, Snohomish or Pierce Counties; specifically priced for a sales price of $625,000 and a $500,000 loan amount.
30 Year Fixed @ 1 Pt: 5.250% (APR 5.399%) 0.25% to rate.
Jumbo/Non-Conforming. Loan amounts up to 1 million for ARMs and 1.5 million for the 30 year fixed. The quotes below are based on 740 or higher credit scores with 80% loan to value with a loan amount of $650,000.
30 Year Fixed at 1 point: 6.125% (APR 6.268). Same as posted last week.
7/1 ARM 5/2/5 CAPS @ 1 Pt: 5.875% (APR 6.926%). 0.375% to rate.
5/1 ARM 5/2/5 CAPS @ 1 Pt: 5.375% (APR 6.947%). 0.125% to rate.
FHA. Pricing based on credit score of 620 or better and loan amounts up to $417,000 for FHA in King, Snohomish and Pierce Counties.
30 Year Fixed @ 1 Pt: 5.375% (APR 6.221%). 0.125% to rate.
FHA-Jumbo/High Balance. Pricing based on loan amounts from $417,001 – $567,500 for King, Snohomish and Pierce Counties.
30 Year Fixed @ 1 Pt: 5.500% (APR 6.342%). 0.125% to rate.
FHA 203 (k) Rehab-Streamline. Pricing criteria same as FHA above with loan amounts up to $417,000. This scenario is based on a $400,000 base loan amount.
30 Year Fixed @ 1 Pt: 5.750% (APR 6.605%). 
0.25% to rate. 5.500% (APR 6.346%) 0.125% to rate. (This is just a typo from this morning–I missed updating this rate; it’s not a intraday rate improvement).
VA. Pricing based on credit scores of 620 or better based on loan amounts up to $417,000. VA loan amounts over $417,000 are also available.
30 Year Fixed @ 1 Pt: 5.500% (APR 5.612%). 0.25% to rate.
USDA Rural Housing. 100% financing with income limits and properties must be located within a specific area (this program is generally available in rural towns with populations of 10,000 or less). For eligibility, click here.
30 Year Fixed @ 1 Pt: 5.500% (APR 5.828%). 0.50% to rate.
Prime Rate (what HELOCs are based on): 3.25%
This is just a small sample available of rates and products. This is not a guarantee nor is it a commitment of interest rate. New rate sheets are currently issued around every 4 hours.
For purposes of this post: “1 point” is 1% of the loan amount and would be reflected in line 801 or 808 (depending on whether the loan is brokered or not). Unless the rate is bought down; there are zero discount points referenced which would be reflected on line 802 of the GFE/HUD-1 Settlement Statement. Zero points means no points are paid on lines 801, 802 or 808 (this applies to all rates quoted on this post).
Rates are as of Friday, June 26, 2009 at 8:00 a.m. and may change at any time. Available programs may change at anytime as well. Check out RCG’s Mortgage Info page for live rate quotes via my Twitter feed.
About Rhonda Porter
Since I have this question, I thought it might be a good idea to ask it here in case it helps others.
I know it changes all the time, but based on today and 5.375% FHA rate, what is the cost to buy it down to 4.875%?
From a seller’s perspective, the best “marketing strategy” right now may be to offer a guaranteed lower 30 year fixed rate, and be willing to pay the buydown cost TO that rate. Builders are doing it with some success…maybe it’s time for Average Joe to consider doing it too.
Cost in dollars for a condo priced at $225,000 assuming FHA, would be % of loan amount of $225,000 less 3.5% = $217,000 or so loan amount. So each point would be $2,175. How many points to go from 5.375% to 4.875%? Throw in 4.5% for good measure, as that may be the bogey at this point.
Builders are going much deeper, but 4.5% guaranteed for 30 years may be something every seller should consider as a selling tool.
Hi Ardell, based on rates at 10:30 today, I would quote a total of 3 points for a note rate of 4.875%. 1pt origination and 2pts discount. (APR 5.914).
4.5% would cost a total of 5 points (apr 5.724) = 1 point origination and 4 points discount.
Did you know that a seller could offer to pay the upfront funding fee (1.75%) so that it’s not financed–this might be more attractive for buyers to not have that cost financed. The upfront funding fee must be paid in full (not a partial payment).
Thanks Rhonda,
Since the 1% origination fee is not usually part of the offer, that reduces the cost to the seller by that amount.
No…up front funding fee would not be a good marketing stragegy. The marketing aspect is for “payment buyers” who are now on the sidelines due to interest rate…not due to other costs of buying.
The caution is buyers may want the seller to pay more closing costs in addtion to the rate buydown, and while technically FHA might allow up to 6% seller contribution within the sale price, the appraiser will not likely be as accomodating.
So if the seller offers a 4.5% interest rate, that may be only for buyers who pay their own normal costs of sale, as adding the two will not likely work from an appraisal standpoint.