Closing on a new home..what does today’s news mean for me?
by Mortgage Rates on Tuesday, October 19th, 2010 | 4 Comments
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If you are already locked in and you don’t have a float-down option, any change (and don’t assume there will be a change), then you are stuck with the rate you have.
Call your loan officer.
If you aren’t at 5.5% or lower on a 30 year fixed, you got screwed.
Honestly, I don’t think it means too much- as long as you plan to stay in your home for a longer amount of time (5+ years). Any investment in a home is a good one- especially if you have fixed rate mortgage. If you are planning to flip the house or move out in the next year or two- you may have some problems selling the home.
Hope this helps!
The mortgage people are not in denial. The Fed cut the discount rate .75%, which may or may not lower mortgage rates. The reduction in the Feds discount rate will affect where money goes, into the stock market, bonds, etc., and to expect a .75% reduction in mortgage rates is just uninformed.
If you locked in your interest rate, you probably cannot adjust the rate at this time.