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The par 30 year conventional rate mortgage remains in the 4.375% to 4.625% range for well qualified consumers but borrowing costs were slightly higher today. The uptick was minimal though, rising costs are most apparent via higher closing costs as opposed to an increase in the actual rate (less lender credit or larger discount fee). To secure a par interest rate on a conventional mortgage you must have a FICO credit score of 740 or higher, a loan to value at 80% or less and pay all closing costs including an estimated one point loan origination/discount/broker fee. You may elect to pay less in closing costs, but you will have to accept a higher interest rate....

Reports from fellow mortgage professionals indicate the par 30 year conventional rate mortgage remains in the 4.50% to 4.75% range for well qualified consumers. There are, HOWEVER, several lenders rewarding high FICO, low LTC borrowers with 4.375% rates. To secure a par interest rate you must have a FICO credit score of 740 or higher, a loan to value at 80% or less and pay all closing costs associated with the loan including an estimated one point loan origination/discount/broker fee. If you are seeking a 15 year term, you should expect a par rate between 4.00% to 4.25% with similar costs. While AQ and MG do believe that benchmark rates have room to fall further, we all agree that mortgage rates are not likely to continue to decline. That said, I continue to recommend locking over floating. At this point we are seeing about the best rates in history and lenders continue to be reluctant to offer lower rates. ...

As the third quarter ended yesterday, mortgage rates were unchanged as prices of mortgage backed securities held to the recent range. Since MBS rallied on Monday which pushed them to levels not seen for quite some time, they have moved sideways since as market participants await the key Employment Situation report due out on Friday. However, today we do have several economic reports coming out which can have an effect on the flow of investor money. ...