I hate this volatiltiy

I got this from my lender today with 1% origination:

5 costing 1.375

5.5 is par

on the ARM, 4.5 is .75 pts, 4.875 is par

Thoughts?  We close on July 10th. 

-Rich

Anyone????

What is the length of the ARM?  Without knowing more of the details (loan amount, credit score, loan to value, etc.) it's hard to say for sure.  But my guess is that those are decent quotes, but you might want to check back in with them as those probably aren't available anymore.  A lot of re-pricing for the worse going on as we speak!

I locked in one of my borrowers this morning at 4.375 with 1 point on a 60 day lock....... 5/1 FHA ARM.

The quote above was for FHA 30 and 5/1 ARM.  At this point, it's moot and we'll see what today brings.  What is it looking like for these two options today? 

-Rich

Rich - Here in NJ, I expect we'll be looking at around 5.5%-5.75% 1 pt on the FHA 30 and probably 5.125-5.25% 1pt on the 5/1 ARM.  We haven't got our pricing yet today, but anything lower would be considered an early Christmas gift, in my opinion.  Yesterday didn't sound like a good day for pricing.

I've been busy with some other stuff this week, so I haven't payed much attention to the markets or financial news, so I don't know what to expect for today...I guess read up on some of the real experts comments and see what you think.  Rates are more volatile than gas prices these days (for now at least) so try to call your LO 2-3 times a day to check on prices. 

Thanks Chris, I read this site like it's my job.. :)  Oh well, I am on vacation next week, I will hope and pray things get better. 

Rich, if you have the time and the guts, wait and see how the market reacts to the FOMC meeting next week. The Federal Reserve does not like this volitility either and they also don't like what's happening with mortgage rates. The million dollar question is: What tricks do they have up their sleeve and will the market like it?

Also, if we get a huge rate improvement prior to the meeting, be wary of a potential let down so the lock button should be close by.

I was close...5.76 for 1 pt on the 30 yr.  and 5.2 for 1pt on the 5/1.  Go drink up on your vacation and hope for some improvement!

Sorry 5.76 is for 30 yr conventional.  FHA is at 5.875% 

Chris, as always, thank you. 

Bob, that is my intention, that's for sure.