Tuesday, December 16, 2008
Rates could be changing again
It looks like some of the Lenders have increased their VARIABLE Products to Prime + .80% from their previous Prime + .60% earlier this week. Variable products were KING at the beginning of the year. It was well worth getting into a VARIABLE than a CLOSED FIXED Mortgage. Lenders have done studies that show being in a VARIABLE product over a 10-year period is far better than a closed fixed product. Unfortunately, I would wait to place any of my clients into the product until they came back to PRIME or less. We may have to wait until Spring for this to happen. We will keep our eyes and ears open for any hint of them changing to the better.