12/20/24 – Interest Rates – Fed Rate Cut Interest rates were at their lowest levels in two months just two weeks ago, but then several unexpected events caused rates to climb higher. The Federal Reserve cut short-term interest rates, unveiled their Dot Plot, and, as a result, mortgage rates increased even more! Today, however, we received some better news: inflation is cooling, raising hopes that the Fed’s target rate of 2% may finally be within reach. Year-over-year core inflation is now at 2.8%, down from 3.0% last month. While this is certainly a positive development, it only brings us about one-third of the way back from where we were two weeks ago. The direction of interest rates heavily depends on economic data, and predicting future rates remains challenging. Unfortunately, we don't have a "Punxsutawney Phil" for mortgage rates. However, today’s news gives us some optimism that we might see lower rates in 2025. I will aim to provide another update next week, though the holiday schedule, with Christmas in the middle of it, might make that tricky. If I don't get a chance to write again, I want to wish you a wonderful Christmas or a joyful holiday season, no matter which holiday you celebrate. For me, this weekend will be filled with kids, family, and fun, and I hope you can enjoy the same. Stay tuned for more updates from the mortgage world, and as always, feel free to reach out if you have questions or need assistance. I'm here to support you every step of the way. Whether you have questions about a loan scenario, need help with a client, or want to brainstorm ideas, I’m just a call, text, or email away. 📞 Cell: 661-714-6258 TEXT: 661-714-6258 📞 Office: 661-260-2970 ext. 2222 📞 Direct Line: 661-291-2222 📧 Email: Mike@AugustaFinancial.com Let’s make 2025 your best year yet! Together, we can achieve great things. But wait, there's more… Interest rates are better today after a rough couple of weeks! It’s kind of what my blog was about today! We're offering 12-day escrows for buyers who are pre-approved - Conventional/FHA/Jumbo/Bridge loans. We provide loans in all states, so call me with anything you need. Government Loans (FHA/VA/USDA) are in the 5s and 6s. Conventional Loans up to $806,500 are in the 6s. High Balance Loans from $806,501 to $1,209,750 are also in the 6s. Jumbo loans above $1,209,750 are in the mid to high 6s. Bank statement loans are available with 10% down again, with larger down payments in the 6s. Profit and Loss Statement loans require 20% down - no bank statements needed, only a profit and loss statement! 0 down loans are available in the high 6s, with a minimum credit score of 620, up to $1,250,000. Private Money lenders offer Hard Money Loans with 35% down. No Ratio Loans require 30% down. DSCR (Debt Service Coverage Ratio) loans are available with as little as 15% down. Bridge Loans typically have an interest rate of 7.99% with limited fees, helping you get where you need to go! 3/2/1 Buydowns, 2/1 Buydowns, and 1/0 Buydowns are available at great starting rates! Please note that interest rates are subject to change without notice, and the information above reflects LA County Loan Limits. **Good News for Condos:** Nothing new to report. **Bad News for Condos:** Four new issues have emerged in the SFV and one in the OC. **Portofino Villas:** 12411 Osborne – Master insurance is unacceptable. **Granada Plaza:** 16940 Chatsworth Street – Project needs critical repairs; 10% of HOA dues are not going toward reserves. **15245 Sherman Way:** More than 25% of the units are owned by one entity. **Galaxy Whitsett Condos:** 6133 Whitsett – The master insurance policy does not meet Fannie Mae requirements. **St. Tropez Condominium Association:** 175 Montara Drive Aliso Viejo CA 92656 – Critical Repairs or Deferred Maintenance For all other issues involving condos, please check MikeMeena.com. I will post updates here, but all the information on the naughty list is available on my website. Just go there and click about to find our most updated list. Let me know if you hear anything new about condos or townhouses. I am available this weekend if you need anything. 📞 Cell: 661-714-6258 TEXT: 661-714-6258 📞 Office: 661-260-2970 ext. 2222 📞 Direct Line: 661-291-2222 📧 Email: Mike@AugustaFinancial.com Have a great day, and an even better tomorrow! Please call me when you have a client who needs to borrow! Mike Meena President | Loan Officer Click to Call or Text: (661) 714-6258 This entry has 0 replies Comments are closed.
