Bankrate: Fixed mortgage rates plunge

NEW YORK, March 20 /PRNewswire-FirstCall/ -- Fixed mortgage rates fell
sharply in the past week, with the norm conforming 30-year fixed
mortgage charge per unit now 5.98 percent. According to Bankrate.com's weekly national
survey of big lenders, the norm 30-year fixed mortgage have an average
of 0.38 price reduction and inception points. (Logo: ) The norm 15-year fixed charge per unit mortgage popular for refinancing
revisited a five hebdomad low pressure of 5.46 percent, while the norm elephantine 30-year
fixed charge per unit declined modestly to 7.43 percent. Adjustable mortgage rates
were up sharply for the 2nd hebdomad in a row, with the norm 5/1 ARM
jumping nearly one- quarter per centum point to 6.44 percent. It was an eventful hebdomad in fiscal markets, and the mortgage market
was no exception. With the Federal Soldier Modesty pickings further measurements to
combat the baleful recognition crunch, including another involvement charge per unit cut
of three- living quarters of a per centum point, there was enormous volatility
in mortgage rates. Adjustable mortgage rates go on to climb up as investors
unload chemical bonds backed by such as loans and investor demand for new weaponry has
sharply dropped. Fixed mortgage rates dropped sharply but still stay well
above the degree they would be in the absence of a recognition crunch. The spread
between conforming mortgage rates and outputs on risk-free Treasury short letters is
more than three- living quarters of a per centum point wider than normal. Jumbo
mortgage rates are near 7.5 percent, reflecting the liquidness issues ailing
the recognition markets. Despite another significant involvement charge per unit cut by the
Federal Open Market Committee, mortgage charge per unit motions have got been driven by
the recognition crunch rather than anything the Federal have been doing with interest
rates. The mortgage charge per unit winds can change way quickly. Last week, the
average 30-year fixed mortgage charge per unit was 6.39 percent, meaning that a
$200,000 loan would have got carried a monthly payment of $1,249.70. With the
average conforming 30-year fixed charge per unit now 5.98 percent, the same $200,000
loan transports a monthly payment of $1,196.53. survey RESULTS
30-year fixed: 5.98% -- down feather from 6.39% last hebdomad (avg. points: 0.38)
15-year fixed: 5.46% -- down feather from 5.85% last hebdomad (avg. points: 0.37)
5/1 ARM: 6.44% -- up from 6.21% last hebdomad (avg. points: 0.60) Bankrate's national weekly mortgage study is conducted each Wednesday
from information provided by the top 10 Banks and thrifts in the top 10 markets. For a full analysis of this week's move in mortgage rates, travel to The study is complemented by Bankrate's weekly forward-looking Rate
Trend Index, in which a panel of mortgage experts foretells which manner the
rates are headed over the adjacent 30 to 45 days. Most panelists, 64 percent,
expect rates to rebound. Just 27 percentage foretell that rates will fall
further, and the remaining 9 percentage prognosis that mortgage rates will
remain more than or less unchanged in the approaching 30 to 45 days. For the full mortgage Rate Tendency Index, travel to About Bankrate, Inc. Bankrate, Inc. (Nasdaq: ) ("Bankrate") have and operates
Bankrate.com, A prima Internet consumer banking marketplace. Bankrate.com
is a finish land site of personal finance channels, including banking,
investing, taxes, debt direction and college finance. Bankrate.com is the
leading collector of more than than 300 fiscal products, including
mortgages, recognition cards, new and used car loans, money marketplace business relationships and
CDs, checking and standard atmosphere fees, place equity loans and online banking fees. Bankrate.com reappraisals more than 4,800 fiscal establishments in 575 markets
in 50 states. In 2007, Bankrate.com had nearly 60 million alone visitors. Bankrate.com supplies fiscal applications and information to a network
of more than than 75 partners, including Yahoo! (Nasdaq: ), United States Online
(NYSE: ), The Wall Street Diary and The New House Of York Times (NYSE: ). Bankrate.com's information is also distributed through more than than 450
national and state publications. In improver to Bankrate.com, Bankrate also
owns and runs Bankrate Select, an Internet Pb collector and Mortgage
Market Information Services, Inc. and Interest.com, Inc., each of which
publishes mortgage ushers and fiscal rates and information; Nationwide
Card Services, which marketplaces a comprehensive line of consumer and business
credit card game via the Internet; and Savingforcollege.com, the premier
Internet finish for aim information about 529 college savings
plans. For more than information contact:
Kayleen Keneally
Senior Director, Corporate Communications 917-368-8677