RATES AT 6.00% FANNIE MAE IMPROVES

While interest rates change on a daily (sometimes hourly) basis, it is good to note 30 year fixed mortgages have stayed in the 6.00% range for some time. Many experts feel rates will inevitably increase due to inflationary pressures (think oil and food) so NOW is always the best time to get a mortgage. For those of you with an interest rate of above 7.00% on your mortgage, please give a call to discuss refinancing your mortgage. Also, if you have an ARM that is subject to adjustment, consider locking in a good rate at this time. Even though guidelines have become more conservative, people with credit scores above 620 (most people) can still qualify for a good mortgage.

FANNIE MAE ELIMINATES DECLINING MARKET CATEGORY:
As of June 1, Fannie Mae will no longer reduce mortgage amounts by 5% in "declining markets" such as Florida. This ruling will greatly improve the mortgage markets and is a very good indicator that home values are no longer falling. Most lst time buyers and people refinancing have been affected by reduced loan to values. This new ruling should bring increased mortgage and real estate activity to our area.