Mortgage Rates Forecast

Mortgage Rates have been hovering at near record lows for the better part of the past year. All time low rates were reached in April of 2009 then increased gradually through the Summer of 2009 before retreating in the Fall and reaching a new record low once again in December. Since that time little has changed. The average 30-year fixed mortgage rate has remained south of 5%. The question home buyers are asking is how long will rates stay low? For the short term rates probably will not change significantly. Recent economical reports have been mixed. There just has not been a clear indication that the economic recovery has completely gotten over the hump. The monetary policy of the Federal Reserve has been to keep rates down while the economy pulls out of this recession. The Fed has been able to do that by keeping discount rates low and by spending $1.2 trillion in mortgage backed securities. The Fed is expected to complete this spending program at the end of March. Afterwards expect rates to begin rising. Concerns over inflation may also cause the Fed to increase discount rates later this year. Don't expect sub 5% rates for much longer.

Historical Perspective of Mortgage Rates

Mortgage Rates have been falling the past few weeks and are near the all time lows we experienced back in April. For most of this year we have been in a period of historically low rates. Just how low are these rates? Compared to a few decades ago they are microscopic. I researched the history of 30-year fixed-rate mortgage over the past 35 years to provide you a historical perspective of mortgage rates. The following is data I gleaned from the Freddie Mac Primary Mortgage Market Survey Archives:

October 1, 2009	4.94%
August 27, 2009	5.14%
June 25, 2009	5.42%
October 2008	6.20%
October 2007	6.38%
October 2004	5.72%
October 1999	7.85%
October 1989	9.95%
October 1984	14.13%
October 1981	18.46%
October 1979	11.64%
October 1974	9.98%

As you can see we are in a period of historically low rates. To take advantage of these extremely low rates fill out an Acre Mortgage loan request form, or give us a call at 800-511-3330.

Fed Pumps $1.2 Trillion into Financial Markets Pushing Rates Even Lower

On Wednesday the Federal Reserve went on a spending spree to the tune of $1.2 trillion. The Fed is spending the money to buy long term government bonds and mortgage backed securities. The intent is to drive rates lower which should spur consumer spending to help revive the economy. This spending effort by the Fed has had an almost immediate effect as mortgage rates have now plunged below 5%. To take advantage of these extremely low rates fill out an Acre Mortgage loan request form, or give us a call at 800-511-3330.

Acre Mortgage Haiku

Our crack marketing staff here at Acre Mortage & Financial, Inc. have come up with an entry for The Haiku Buckaroo Contest. So without further ado here is our submission for the contest:



Mortgage rates are down
A great time to refinance
Call Acre Today


Give us a call at 1-800-511-3330 and we will help you save money by refinancing your current mortgage.

Mortgage Rates Fall Slightly This Week

Mortgage Rates fell slightly this week to 5.16% on average for a 30-yr fixed mortgage according to the latest rate survey released by Freddie Mac. Rates for 15-yr fixed mortgages as well as 5/1 ARM also dropped slightly. This continues a see-sawing of rates in recent weeks since bottoming out below 5% during the second week of January. These are still very solid near record low rates. Click here to see the rate the data thus far for 2009.

Mortgage Rates fall to 5%

Mortgage rates have fallen for the 10th straight week. This also marks the 3rd straight week of setting a new record low for the average 30-year fixed mortgage according to Freddie Mac's weekly survey of rates. The Average 30-year fixed rate now stands at 5.01%

Mortgage Rates Drop To Yet Another Record Low

The average 30-year fixed mortgage rate dropped again this week to 5.10% according to Freddie Mac's weekly rate survey. This marks the third straight week the survey has reported a new record low for 30-year fixed mortgage rates. It also marks the ninth straight week the rate has dropped.

Happy Holidays. Enjoy The Record Low Mortgage Rates.

Good news for everyone this Holiday Season. Inside your stocking you will find low mortgage rates. Make that historically low mortgage rates.The Wall Street Journal reports that the average rate for 30-year mortage dipped to 5.14% for the week ending December 24th according to Freddie Mac's weekly survey. This is lowest rate since Freddie Mac began doing its rate surveys in 1971.