Rate Sheet

Rates have been so volatile lately that it is becoming impossible to keep up this rate sheet. On some days, we are seeing up to 4 rate changes per day. However, this last week, rates have moved up dramatically. The new rate range follows:

*Best rates ranges:

30 year fixed - 6.5%

15 year fixed 6.% - 6.25%

**FHA 6.5%% - 6.875%

VA rates are usually .125% higher than FHA rates

* Best rates apply to borrowers with Loan to Value at or below 90% and credit scores of 720+. Most lenders offer even better rates when scores are above 760.

** Best FHA rates apply to credit scores of 620 and up.

There are upward rate adjustments for lower credit scores on all loan programs.

FHA/VA rates apply to new temporary established FHA/VA loan limits ($417,000). these rates apply until December 31, 2008.

I would love to post a full rate sheet for you, but the truth is that rates are dependent on so many factors, that I don't want to mislead you about what loan and rate applies to YOU. The rates above are the BEST rates available at any given time.

Some or all of the following can affect what rate you will be quoted:

1. Your credit score and credit history

2. The loan to value ratio (LTV)(how much down payment can you make, compared to your purchase price - or for a refinance transaction, how much is your house worth compared to the loan you are requesting.)

3. Your debt ratio - how much do you owe other creditors?

Example: You owe all your other creditors 600.00/ month

Your new house payment 1800.00 / month

Total Debt 2400.00 / month

Gross monthly income 6000.00

Debt ratio + total debt ($2400) divided by income $6000) = 40%

4. Previous derogatory credit information - how long has your credit history been free of any late payments, collections, bankruptcies, judgments, etc? This does affect your rate.

5. The type of property (a house, condo, co-hotel, manufactured house, land, etc.)

6. Will you live in this house, is it a second home or an investment? How many other investment properties do you own? How long is your history as a landlord?

7. How long do we need to lock this loan? Can we complete the process in 30 days or less? Often, this depends on you getting to me all the required paperwork quickly. Also, as this market has become so volatile, some lenders are offering rate incentives for very short locks of 7 -12 days.

8. Your employment history

9. Type of Loan (examples include fixed rate, adjustable rate, interest only payments, FHA/VA)

10. If you are refinancing your house, is this to get a better rate and term, or do you need cash out? Cash out loans usually have an upward adjustment to rate, especially if the Loan to Value is higher than 70%.

11. Are you in an area designated as "declining value?" Almost all of the Portland Metro area is now designated as "declining value." This primarily affects how much you can borrow, relative to the value (LTV), but could also affect the rate.

Right now mortgage rates are very volatile. There are days when we will see rate changes several times in a single day. Please feel free to call to ask about rates anytime though. AND, if you are thinking about refinancing your current mortgage and are looking for a particular rate, please let me know so I can put you on my rate watch sheet. That way, if rates DO hit your target rate, I'll be able to lock your loan right away.