The average mortgage lender continues to offer top tier conventional 30yr fixed rates in the “high 2% to low 3%” neighborhood. Exactly where any given quote will reside in that neighborhood depends on several factors. The most important of those is the re-introduction of the new adverse market fee for all conventional refinances. If you’re not up to speed on that, here’s some additional background . The adverse fee is the most important factor because it instantly accounts for a change of at least 0.125% in rate for refinances. Purchase mortgages are officially unaffected, but they’ve been caught in the crossfire, to some extent, as many lenders are generally pricing more cautiously during the phasing-in process for the new fee. After all, the fee significantly affects lender cash flows. Moreover
Perfect Storm For Home Prices; Will Low Rates Care About The Debate?