(01/28/2011) Many
potential home buyers in high cost areas are forced to use jumbo mortgage loans,
which typically carry a higher interest rate, to finance their home purchase.
However, thanks to the Economic Stimulus Act of 2008, the conforming loan
limits were extended for certain designated regions. Â Informa Research Services
suggests that homeowners use online rate tables to find the best conforming and
jumbo rates to finance their home purchase.
The
Economic Stimulus Act heightened the conforming loan limits in certain areas,
which means that these loans, referred to as super conforming loans, may carry
with them lower
rates than non-conforming, or jumbo, mortgage loans. Â These super-conforming loans may
be ideal for home buyers who are looking to take advantage of historically low
rates despite the high loan balance.
Nonetheless,
even if you are not looking for a super conforming loan, using online
rate tables to find the lowest rates being offered by lenders who serve your area. Â Online
rate tables, such as those found on ERATE.com,
feature low rates and quality lenders. Â Many of these lenders offer loans with
rates well below the historically low national average. Â For instance, AimLoan.com currently offers their 30 year fixed conforming rate at just 4.5% (with no
points), which is almost 0.5% lower than the current national average according
to Informa Research Services.
