Mortgage rates spent most of last week in recovery mode after experiencing a sharp spike in late-June/early-July. Unfortunately just before the weekend the corrective rally stalled and positive progress came to a screeching halt, leaving hopeful rate watchers once again stuck in limbo.
In the chart of Consumer Rate Quotes below, a sharp spike followed by an immediate recovery (last week) can be seen. If the line is moving up,
closing costs are rising. If the line is moving down, costs are getting
cheaper.
The chart above compares the average
origination costs (as a percentage of loan amount) for several available
mortgage note rates as quoted by the five major lenders. Each line represents a
different 30 year fixed mortgage note rate. The numbers on the right
vertical axis are the origination closing costs, as a percentage of your loan
amount, that a borrower would be required to pay in order to close on that note
rate. If the note rate graph line is below the 0.00% marker, the consumer may
potentially receive closing cost help from their lender in the form of a lender
credits. If the note rate line is above the 0.00% marker,
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