Mortgage Rate @ 6% on 30 yr fixed...Should I Lock This In? OR, are better rates available soon?

[masmdu]

Trying to decide to lock or not.

Does anybody have any idea whether rates will fall any time soon?

If you think they will change, on what do you base your view?

Thanks in advance

[Kittycat]

1. 6% but are they lending?

That's a great rate though.

[Warpy]

2. If you've done all the other homework

and are buying a modest place in an area with rising rents and have a stable job, grab that sucker.

Really.

[yellowdogintexas]

3. yes nt

[jazzjunkysue]

4. They just dropped it a nother point today, so, if I were you, I'd take it day by day.

I got a great rake from Wachovia on a 20 yr fixed: 5.37 no points. That was 6 months ago.
Then they shot back up.

Still, the fear is bringing things higher, so, I would watch all the rates on all the banks several times a day to see what's the trend.

Chase and wachovia post theirs online with easy access, fyi. No phone call or app or registration for those 2.

[Demit]

5. Figure out the difference in what your monthly payment would drop for each 1/4%.

Then decide if that amount is worth the gamble.

Like driving a little out of your way to save 2 or 3 cents a gallon on gas—the difference is so little, is it really worth it?

[rateyes]

6. When are you going to buy? Locks usually last only 30 days.

And, think about this. If you are able to pay just $100 more a month than the payment at that interest rate, you will pay off that loan in about 17 years, saving tens of thousands, if not over a hundred thousand dollars in the long run.

Also, you are probably getting a good price on the home, seeing as how it's a buyers market out there right now.

If the rate drops next year to say 4.5% you can always refinance---but, before you do, you need to think about how long you will be in the home you are buying.

Just my opinion.

[Oregone]

7. If you are doing a REFI, remember amortization tables reset

Plus they add the "no-cost" REFI fee to the loan principal.

Sometimes you can save money on a REFI. Sometimes it can cost you big.

[OPERATIONMINDCRIME]

8. No Way To Predict That.

Only advice I can give is to take it day by day. The second you see the mortgage rate go up more than an eighth (most likely a quarter, or 6.25%), then lock in. Don't wait hoping it'll go back down to 6. A quarter percent ain't gonna cost you much overall and it's not worth the risk of waiting. But as long as you see it stay at 6 (and constantly be checking), you should be able to take it day by day to see if it swings down.

[HillbillyBob]

9. We bought almost 2 years ago at 6.18 on a VA

guaranteed loan. A year later with good payments and other credit kept up we were able to refi nance at 5.18% thru ctx mortgage 30yr fixed. We did not take anything out just lowered our payments to 560$ month. I would rather that we could double payments and pay off sooner, but
we had our own personal Great Depression in 2001 after 911 my partner was outsourced.
We managed to get our credit fixed up a bit and bought a place that was priced at half of what we could qualify for.
It really depends you need to talk to a reputable mortgage broker, He or she may know what is likely to happen. Or you may look into refi for a lower fixed rate.
Somefriends have gone through APRs never seem to go down they always go up.
If you contact me privately I will give you the name of our broker , he recently moved from CTX to a different He handled our case with care and did a lot of 'footwork' to get us in when our credit was pretty spotty.