Mortgage Rates, 100% Financing & PMI News
After a busy week in the financial markets, mortgage rates continue to hold steady near historic lows. Strong demand at Treasury auctions pushed mortgage rates slightly lower. However, concerns are mounting that the enormous expansion of government debt and the explosion of the money supply will result in higher interest rates and inflation.
For homes priced under 303,000, FHA loans are available with just 3.5% down (292K max loan in the Tampa Bay Region). For homes in Pasco County and parts of New Tampa, USDA guaranteed loans allow up to 100% financing. Conventional loans with less than 20% down can be done, but they require PMI, Private Mortgage Insurance. The PMI companies have increased their costs and requirements. Anyone with a credit score below 740 can have a maximum Debt-to-Income ratio of no more than 41.0%, down from 45%. If you plan to finance a home purchase, now would be a great time to take advantage of low interest rates, a wide selection, and purchase prices that are down as much as 50%!
« Everyone Wants a Lower Price, But What About the Impact of Interest Rates? | Home | Closing Costs: What to Expect When Buying a Home in Tampa »
Comments are closed.