July 8, 2010
It may be harder to get a mortgage than it once was, but those who can qualify continue to enjoy record low rates.
The cost of mortgages edged lower again in several states this week, according to the LendingTree network, and remain at record lows. The company's Weekly Mortgage Rate Pulse, a snapshot of the lowest and average mortgage rates available within the LendingTree network of lenders, shows rates falling or flat in all 50 states.
On July 6, lenders on the LendingTree network offered mortgage rates as low as 4.13 percent (4.24 percent APR) for a 30-year fixed mortgage, 3.75 percent (3.99 percent APR) for a 15-year fixed mortgage and 3.125 percent (3.5 percent APR) for a 5/1 adjustable rate mortgage (ARM).
No movement
Rates for each loan type remained flat week over week, the company said.
Average rates offered by lenders on the LendingTree network this week were 4.63 percent (4.83 percent APR) for 30-year fixed mortgages, 4.13 percent (4.41 percent APR) for 15-year fixed mortgages and 3.6 percent (3.79 percent APR) for 5/1 ARMs.
"The variance in rates offered by different lenders has widened to 0.94 percent. That's up 59 basis points from just two weeks ago," said Cameron Findlay, Chief Economist of LendingTree.com.
On a $200,000 loan, the company estimates that spread is costing borrowers $109 per month in additional mortgage payments.
"Clearly, mortgage originators have a lot of room to negotiate on price," Findlay said.
Connecticut, Florida, Kansas, Kentucky, Minnesota, and Nebraska all reported mortgage rates as low at 4.13 percent on a 30-year fixed rate loan, the lowest in the nation.
