"A life spent making mistakes is not only more honorable, but more useful than a life spent doing nothing." George Bernard Shaw

Tame inflation data, strong demand for the Treasury auctions, and a lack of surprises from the Fed were all positive for mortgage markets, and mortgage rates ended the week lower.

No changes were announced for the $1.25 billion mortgage-backed securities (MBS) purchase program, which is set to conclude at the end of the year. Mortgage rates are largely determined by MBS prices, and the added Fed demand for MBS has helped keep mortgage rates low. Investors will soon need to hear what the Fed plans to do with the MBS purchase program. The direction the Fed chooses could have a significant impact on mortgage rates later in the year.


Hazard Insurance for Units in Attached Condominium Projects (HO6 required)

The updated policy now requires that the borrower obtain a "walls-in" coverage policy (commonly known as HO-6 policy) unless the lender can document that the master policy provides the same interior unit coverage. The master policy must include replacement of improvements and betterment coverage to cover any improvements that the borrower may have made to the unit.

The HO-6 insurance policy must provide coverage in an amount that is no less than 20% of the condominium unit’s appraised value. In the event such coverage can not be obtained, the lender should call the Fannie Mae Project Standards Department at the phone number listed at the end of this Announcement. The standard requirement for a 5% deductible applies.

Have a great week and good luck with your clients’ whether they are buyers or sellers

As usual stay informed, stay in touch and remember the Valeo-Croy team is here for you. 704-366-7711 Deanna, Todd and Ryan

Today's Rates:

30 YR Fixed - 5.125%
30 YR FHA - 5.37%
15 YR Fixed - 4.750%
5/1 ARM - 4.375%
7/1 ARM - 4.750%

30 YR Fixed JUMBO - 6.125%
5/1 ARM Jumbo - 5.250%
7/1 ARM Jumbo - 5.500%