In the past 24 days (and mostly the last week) the 4.0% coupon (bond market) has lost 400 basis points.  That is a huge movement.  The income tax rates being continued is good for stocks; but has in turn prompted Bond investors to sell.  Thus RATES have been going up.

I am asked dozens of times a day are RATES going to come back?  Per Knight Kiplinger (Kiplinger’s News Report)…”we” think the best rates are behind us.  In fact, he recently locked in his OWN refinance.  (I guess he may in his up and coming report describe the loan process…which he did not think was good.)

Anyway, if the tax cuts didn’t get passed… that would be good for Bonds and good for rates.  That said…only some major changes might lower those rates to that historic 4.00% (approximately) 30 year fixed rate (conventional).  With FHA…it was as low as 3.75% but it didn’t last long.

So…rates are STILL very good (about 4.50% – 4.75% conventional) BUT they are NOT what many borrowers may have “accepted” in their minds as the “norm”.

Okay… comprehend all this or did by the wayside?? Eitherway, just know this – timing is everything and it is still a fantastic time to buy a home! Inventories are still high, there are still some fantastic deals (look at this one in Meridian)!!

Questions – connect with me at;

Paul Wallin, Realtor
Phone: 208-288-2976
Email: paul@idahorealtyinfo.com
Skype: idahorealtyinfo
Mail:  500 E Shore Drive ∙ Suite 100 ∙ Eagle, ID 83616

Or…   Contact Iva Deobald – First Morgage Company of Idaho.  She is an excellent source to talk about rates, how the bond market will effect you and more!!  You can reach Iva either by calling her at 208-854-8403 (direct), 208-867-5907 (cell) or email her at : ideobald@firstmortgageco.com.  Tell her I said Hi when you two talk!