Par is under 6% today. A little lower and they will be at a 2 year low. Expect this to be very short lived for two reasons: 1- Fannie Mae and Freddie Mac are in a tight financial pinch and will need to raise rates. 2- December slows down for mortgages and rates usually move up until after the first week of the next year.
Kathleen and I own a small mortgage company. We used to support over 100 loan officers, but have pared it down to our favorite few. We don’t personally write loans any more. We do keep an eye on the market, it helps us as agents. The ray of light I reference is that last Friday rates took a pretty good dip and held it all week. If you were looking to get under 6% on a 30 year fixed you should call a lender.
Locally we like Rob Tamaela of Tamaela Mortgage, his link is above in the dark blue bar, and you would be well served by him.
October 30th update: Rates have moved up about an 1/8th since last Friday. The question of what will the Fed do tomorrow is looming. Just note, if rates go down on a Fed cut, and you are in a position needing to lock soon, what often happens on a Fed rate cut is a quick drop followed by an increase within hours.
The Fed rates do not directly relate to mortgage rates. If the market sees the rate cut as spurring the economy along too much it may have the result in the rise in mortgage rates. Think about it, if you are investing for 30 years with mortgages, what would your concern be? It would be what inflation does. A home building boom means higher demand for everything that goes into homes, especially labor. So the trick in managing the economy from the Federal Reserve duties, has a lot to do with holding down inflation, even the fear of inflation.
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