After a steady rise in mortgage rates in 2018, we’re seeing great moves in the opposite direction so far in 2019. In fact, the Federal Reserve just announced that the interest rates were already moving down to their lowest point in more than a year. Today, we saw them drop a full quarter of a percentage point (0.25%)!

Low 4s and High 3s!

Obviously, the interest rate you qualify for will depend on a variety of factors, including how much money you put down, if you buy points or not and other considerations. However, 4.125% interest rates are currently the standard for conventional 30-year fixed mortgage loans for borrowers who put down more than 20% equity and have strong credit/income ratings. Some are even getting as low as 4.0% and it seems like the “High 3s” are even in sight once again.

You may not see an offer of under 4.0% unless your financial scenario is absolutely perfect, but the point is the rates have come down to a great low point once again and home buyers are taking action. We’ve seen the rate of home price increases decelerate someone in recent months and things appear to be shifting back into the buyers’ favor with this latest Fed rate decrease.

Home Buying and Refinancing Implications

If you’ve been on the fence about buying a home and applying for a mortgage loan, now may be the right time to act. The same goes for homeowners who may have been looking for an opportunity to move up. You can still get a great price for your current home while taking advantage of these low interest rates to purchase a new home.

Last but not least, now is certainly an ideal time to consider refinancing your home. You may even be able to pull out some of your equity with a cash-out refinance program, or you can just lower your interest rates and monthly mortgage payments.

Today’s most prevalent rates:

  • 30-Year Fixed – 4.00-4.125%
  • FHA/VA – 3.875-4.00%
  • 15-Year Fixed – 3.875%
  • 5-Year ARMs – 3.875-4.25% (depending on the lender)

Your Local Mortgage Advisors

If you are ready to talk home buying or mortgage refinancing in San Diego County and throughout Southern California, Transparent Mortgage is here to help you make the right decisions. Call us today at (619) 701-3906.

Beau Hodson

Beau Hodson

About the Author Since 2003, Beau has been a mortgage professional and is a leading mortgage broker and lender in San Diego. As Founder and Senior Mortgage Advisor at Transparent Mortgage, he is truly committed to serving the needs of his clients and raising industry standards for integrity and transparency.