Mortgage Rates Decline as Fed Continues to Taper

Mortgage rates continue to decline following 10 year U.S. Treasury yields lower. Average 30 year mortgage refinance rates are at 4.22 percent, down from the prior week's average 30 year mortgage rate of 4.30 percent. So far in 2014 average 30 year mortgage rates have fallen more than 30 basis points and 10 year bond yields have fallen 40 basis points.

Lower interest rates wasn't supposed to be the trend in 2014 as the Federal Reserve continues to taper their bond purchases and the unemployment rate ticks lower. Economic growth hasn't been on fire which has kept a lid on inflation and interest rates. In fact this week's decline in bond rates can be linked to investors fleeing to the safety of U.S. Treasuries as the trouble in Ukraine intensifies.

Loan Type
Purchase    Refinance
Location
State/City    Zip Code
Loan Amt Points FICO % Down
  
$
30 yr fixed refi in 23223, All points, Credit score: 740+     Sort by:
Lender
APR
Rate
Cost & Fees
Notes
 
30 yr fixed Mortgage Loan from US Wide Financial
US Wide Financial
https://www.brimg.net/system/img/inst/5230_logo.gif
300000
Refinance
3.891
3.875
USD
US Wide Financial Logo
NMLS # 192116
at 0.000 pts
30 day lock rate
Est payment: $1,410.71
Fees in APR: $582
Thank you for your inquiry! 
 
30 yr fixed mtg refi Mortgage Loan from Fulton Bank, NA
Fulton Bank, NA
300000
Refinance
4.403
4.375
USD
Fulton Bank, NA
4.403%
5/21/2019
4.375%
at 0.000 pts
60 day lock rate
Est payment: $1,497.86
Fees in APR: $1,007
 
 
30 yr fixed mtg refi Mortgage Loan from Raymond James Bank, NA
Raymond James Bank, NA
300000
Refinance
4.537
4.500
USD
Raymond James Bank, NA
4.537%
5/21/2019
4.500%
at 0.000 pts
45 day lock rate
Est payment: $1,520.06
Fees in APR: $1,299
 
 
30 yr fixed mtg refi Mortgage Loan from State Department Federal Credit Union
State Department Federal Credit Union
300000
Refinance
4.306
4.250
USD
State Department Federal Credit Union
4.306%
5/20/2019
4.250%
at 0.000 pts
60 day lock rate
Est payment: $1,475.82
Fees in APR: $2,000
 
 
30 yr fixed mtg refi Mortgage Loan from Bank of Oak Ridge
Bank of Oak Ridge
300000
Refinance
4.044
4.000
USD
Bank of Oak Ridge
4.044%
5/16/2019
4.000%
at 0.250 pts
60 day lock rate
Est payment: $1,432.25
Fees in APR: $853
 
 
30 yr fixed mtg refi Mortgage Loan from Virginia Credit Union
Virginia Credit Union
300000
Refinance
4.213
4.125
USD
Virginia Credit Union
4.213%
5/21/2019
4.125%
at 0.500 pts
45 day lock rate
Est payment: $1,453.95
Fees in APR: $1,650
 
 
30 yr fixed mtg refi Mortgage Loan from LincolnWay Community Bank
LincolnWay Community Bank
300000
Refinance
4.030
4.000
USD
LincolnWay Community Bank
4.030%
5/21/2019
4.000%
at 0.000 pts
30 day lock rate
Est payment: $1,432.25
Fees in APR: $1,085
 
 
30 yr fixed mtg refi Mortgage Loan from Bank of America
Bank of America
300000
Refinance
4.103
4.000
USD
Bank of America
4.103%
5/22/2019
4.000%
at 0.798 pts
60 day lock rate
Est payment: $1,432.25
Fees in APR: $1,289
 
 
30 yr fixed mtg refi Mortgage Loan from Northwest Federal Credit Union
Northwest Federal Credit Union
300000
Refinance
4.169
4.125
USD
Northwest Federal Credit Union
4.169%
5/22/2019
4.125%
at 0.500 pts
45 day lock rate
Est payment: $1,453.95
Fees in APR: $79
 
 
30 yr fixed mtg refi Mortgage Loan from Apple Federal Credit Union
Apple Federal Credit Union
300000
Refinance
4.219
4.125
USD
Apple Federal Credit Union
4.219%
5/22/2019
4.125%
at 1.000 pts
60 day lock rate
Est payment: $1,453.95
Fees in APR: $352
 
 
30 yr fixed mtg refi Mortgage Loan from Santander Bank, N.A.
Santander Bank, N.A.
300000
Refinance
4.432
4.375
USD
Santander Bank, N.A.
4.432%
5/22/2019
4.375%
at 0.000 pts
60 day lock rate
Est payment: $1,497.86
Fees in APR: $2,004
 
 

Mortage Data Provided by Bankrate.com Many lenders have different rates on their own Websites than those posted on Bankrate.com. In order to get the Bankrate.com rate, please identify yourself as a Bankrate.com customer. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the lender you choose, please click here.

The rates above were collected by Bankrate.com on the dates specified. Rates are subject to change without notice and may vary from branch to branch. Rate/APR and terms may vary based on the creditworthiness of the individual and the extent to which the loan differs from the one used for Bankrate.com quotes. For criteria used in surveys of rates above, click here. These quotes are from banks, thrifts, and brokers, some of whom have paid for a link to their own Web site, where you can find additional information.






Low rates won't last forever and rates will eventually move higher in 2014. The Fed's purchases have dwindled to $45 billion a month, down from $85 billion a month in 2014. If the Fed continues to lower their purchases by $10 billion a month after each Fed meeting, by the October meeting they will have stopped buying these securities.

The Fed's purchases does have some impact on interest rates but the bigger impact is economic growth. The first indication of better growth came this past week when the Labor Department reported 288,000 jobs created and the unemployment rate falling to 6.3 percent in the month of April. Forecasts were for 200,000 jobs being created and an unemployment rate of 6.6 percent.

If this trend continues bond rates will move higher and mortgage rates will also increase. The future direction of mortgage rates is higher for 2014 and beyond. By the end of this year, 30 year mortgage rates are forecasted to be around 5.00 percent. You should lock in a mortgage rate now if you're planning on buying a home. If you're thinking about refinancing your current mortgage, you should try to do so before rates move higher.

Mortgage rates today on 30 year loans are averaging 4.22 percent but there are many lenders quoting 30 year rates below the average. In our database of rates, we see many lenders quoting 30 year refinance rates around 4.00 percent. As you can see in most states listed below, there is at least one lender quoting 30 year rates below 4.00 percent.

Lowest 30 Year Rates Across the United States

  • California - 3.875% with 0.10 mortgage point

  • Nevada - 4.125% with 1 mortgage point

  • Texas - 3.875% with 0.10 mortgage point

  • Colorado - 3.875% with 0.10 mortgage point

  • Illinois - 3.875% with 0.10 mortgage point

  • Georgia - 3.875% with 0.10 mortgage point

  • Florida - 3.875% with 0.10 mortgage point

  • Maryland - 3.875% with 0.10 mortgage point

  • Connecticut  - 3.875% with 0.10 mortgage point


 
 
 
Author: Brian McKay
May 7th, 2014
Posted in: Bank Mortgage Rates