Mortgage Rates, 8k tax credit and USDA

Rates:
So we have survived another round of the Federal Reserve auctioning off more US Debt. This week we saw another large supply of Treasury Notes made available to Bond Traders and Investors. We saw a total of 74 Billion...that's right, with a B...in Treasuries broken down as 40B in 3-year notes, 21B in 10-year notes and 13B in 30-year notes. The supply is less than we have seen in the past several months coupled with the auction being well received and rates are holding steady after the previous 2-week sell off.

Though we are holding steady, I still firmly believe that as the economy continues to show signs of life you will see the stock market continue to improve. And Bond traders will want a higher yield for their investments if they are to invest in that type of financial vehicle. Higher yields means higher rates! In conclusion, lock your rate if you like it because in 6-months you'll be in better shape than those buying on down the line.

8k Credit:
You have 3 weeks to get your contract written (April 30th deadline) to be eligible for the 8k tax credit. If you can come to terms and have an accepted purchase agreement by April 30th, your next goal to meet is the loan closing deadline of June 30th. Do both and you are eligible to claim the tax credit if 1) you have not owned a home in the past 3 years and 2) you fall under the income limit of $125k for a single person and 250k for a family.

Go get that free money!!!!!!!!

USDA:
Word came out last month that USDA is running short on funds and can be out by the end of April. We have been in touch with USDA and they are not releasing many details but as of this past Monday they still had about 2 billion to appropriate to new applicants. This 2B is nationwide...but looks like there is a shot that the money could fall into May as far as availability...we'll see. For now, it's unlikely if you have not signed a contract that you will be able to get approved for the program but we are always working for you, our client. Get your contract signed and get in for application so we can get your loan in line for USDA funds.

Remember, outside of a VA loan that USDA is the only 100% loan left out there and it has NO PMI!!!!!!!!!!! And the rates are just like any other loan. This program is a winner. Click this link to our website to learn about USDA: myindymortgage.com

Ryan
ryanf@fairwaymc.com
myindymortgage.com