Seattle Mortgage Rates Drop

Earlier in the week I mentioned that the Employment Report due out on Friday would have an impact on mortgage rates.  As the week went on we saw gradual improvement in the pricing with 4.75% for a 30 Year Fixed becoming more and more available for less cost.   The stock market tumbled on Thursday and continued to fall on Friday morning despite coming back a bit in late day trading.  Thursday we saw Jobless Claim numbers that were higher than expected and Friday had Non-Farm Payroll employment numbers lower than expected.  Despite the overall unemployment rate improving to 9.7% from 10%, money continued to flow out of stocks and into bonds.   By Friday afternoon we saw many lenders “re-pricing” their mortgage rate offerrings because of this.  

Early in the week 4.75% for a 30 Year Fixed Conventional loan was requiring origination fees in most cases, but by Friday that is no longer the case and it’s even possible to get into 4.625% with less than a half point in origination fees.  That’s better rates/pricing than we’ve seen at any point in 2010!   

Whether these rates hold next week or not is hard to tell as the mortgage market has been volatile within a small range lately and the overall economic signals are still mixed.  That’s why it’s essental  for you to work with a mortgage professional who is on top of things and can get you the best rate/pricing for your loan.

Michael Pollock is an Accredited Buyers Representative, member of the Seattle King County Association of Realtors and Licensed Loan Originator in Washington.  He also works with clients in the Tacoma/Pierce County area – visit us at www.tacomapowersearch.com