Leaking News of 4.5% Mortgage Rates

Big news is rumored to be coming out of Washington that could spur home sales in Daytona Beach and around the country.

Treasury Department officials are in conversation to offer 4.5% mortgages through Fannie Mae and Freddie Mac. The leak is causing quite a stir as people currently in the process of financing a home are scrambling to stop the process while they see if the rumor is true.

The New York Times reported the story on Wednesday and I’ve checked it out as best as I can, but there seems to be some possibility that this will happen. Of course you will still need to qualify and it appears that this program will be for new purchases and not available for refinancing.

National rates are about 5.5% today, so a drop of 1% results in a drop in the monthly payment of about $130 on a $200,000 mortgage.

We will keep you updated as more information becomes available.

Technorati Tags Fannie Mae, Freddie Mac, Home Sales in Daytona Beach, mortgage rates

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