Monday 5PM 02/01/10 Today’s Current Mortgage Rates Update News

Monday 5PM 02/01/10 Today’s Current Mortgage Rates Update News

I’m David Beadle. Here’s what’s happening from RateAlertNow.com.

Thirty-year mortgage rates “mostly” rose on Monday, after a closely watched manufacturing index showed a sharp move “higher” for the month of January. Of even more concern, was the fact that a price measurement inside the report, “indicated” factories are paying considerably more money for raw materials. Inflationary pressure typically causes home-loan rates to rise.

The national-average 30-year fixed-rate mortgage is now at four-and-seven-eighths percent with one and three-quarters points, up an eighth of a point from Friday, for an extra cost of $125 on a one-hundred thousand dollar loan.

The five-and-one-eighth percent rate was unchanged, at a “quarter” of one point.

Remember: one point is worth “one percent” of the loan amount. This means “one point” is one-thousand dollars on a one-hundred- thousand dollar loan…and two-thousand dollars on a two-hundred thousand dollar loan.

When it comes to a two-point loan, that represents two percent of the loan amount. This means “two points” is two-thousand dollars on a one-hundred thousand dollar loan…and four-thousand dollars on a two-hundred thousand dollar loan.

The national-average 15-year fixed-rate mortgage was higher, with the four-and-a-quarter percent rate now at one-and-five-eighths points, up an eighth of a point from Friday. The four-and-a-half percent rate rose to a “quarter” of one point.

In order for you to know “when” to lock your “floating” fixed-rate
mortgage, you have to have “an Early Warning” system with immediate news on changes in current rates & points +before+ they occur throughout every business day. That’s where my “Rate Alert Now” service becomes essential to your “rate lock” strategy. I’ll tell you via regular e-mail and/or mobile “text messaging” when current rates are about to go up, and if you act quickly, you may be able to reach your local mortgage originator by phone to lock your rate +before+ the mortgage company becomes aware of what’s going on, and changes its rates. The cost of my service is less than one dollar a day.

As mentioned, January “manufacturing” showed an improvement, to a level of “58.4” from the previous “54.9.” Any reading above “50” indicates an expanding “factory” sector.

On Tuesday, we-will-see the number of pending “existing” home sales in December, based upon signed contracts. The estimate is for a one-percent increase from November, when pending home sales sank a “very sharp” 16 percent.

That’s what’s happening. I’m David Beadle. For full details on my real-time mortgage rate alert service to help you “beat the system,” visit RateAlertNow.com and check back here on Tuesday morning, for my next *free* mortgage rate update.