Posted To: Mortgage Rate Watch

Mortgage rates have improved noticeably in the past few business days, largely due to the delay of a new fee announced earlier this month. Ironically, that same fee is the reason rates are about to move higher, just as many lenders are back within striking distance of all-time lows. The fee applies to all refinances sold to the housing agencies Fannie Mae and Freddie Mac on or after December 1st. That may seem like a long time from now, but those sales tend to take place weeks after a loan actually closes. In fact, several lenders have already reintroduced the fee on loans locked for 60 days or more. For other lenders, it’s only a matter of time. Most lenders will announce their game plan for reintroducing the fee, but at least a few will just flip the switch with no advance notice. How do…(read more)

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Source: Mortgage News Daily