Low mortgage rates are holding on today despite the released jobs report which showed that the unemployment rate for December dropped to 8.5% which is the lowest level in three years. Although this is good news, investors are still worried about European banks and their financial issues.
Conforming mortgages rates have continued to remain consistently low this first week of another year. Current 30 year fixed mortgage rates are at 3.500% and 15 year fixed mortgage interest rates are at 2.875%. 5/1 ARM loan rates are at 2.250%. Having good credit will allow borrowers to obtain these lowest mortgage rates with 0.7 to 1% origination point.
Two recent reports from the National Association of Realtors indicate that home sales (existing and pending) are on the rise. But what if current mortgage rates weren’t as low as they are—how would home affordability, which directly influences home sales, be affected? Would we see fewer home sales?
Greece. The Greek parliament approved the austerity program, a prerequisite for any bailout, and the European Union moved forward with the first step of support. But this is still just a temporary solution. In order for this package to work, private investors in Greek debt have to be on board, and the new deadline for an agreement on how this will work has been moved to mid September. As we get closer to this date, the markets will refocus on this and the dance will continue. 
flight to safety in global funds as Greece is about to be bailed out, again. Unemployment claims were up again, the Fed regional reports all showed growth slowing, or in the case of the Richmond Fed, contracting, and the first quarter estimate of GDP was lowered for the second time. But the biggest impact on the markets last week was the situation in Greece. The European Union has been trying to keep their currency together with Band-Aids and duct tape.
rates dropped to as low as 4.00% (for the best qualified conventional loans). The consensus at the time was that the economy needed more juice to keep it growing, and that rates were likely to drop even lower still. If you had considered refinancing at the time and missed the boat back then, you know what happened next. The Fed started the Quantitative easing program which pumped more money into the economy.