Jumbo Loans Have Gone Haywire - Market Update

Conforming interest rates dropped again this week, but Jumbo rates have gone haywire; my price checks are coming back 1-1.5% higher than usual on Jumbo loans. Investor’s have been a little shaky lately; first it was Subprime, now it’s Jumbo that’s taking the hit.

My advice? If you’re looking to refinance a Jumbo loan, wait a couple weeks. Things will settle down and rates will come down. Make sure your Loan Officer knows not to lock a Jumbo (over $417,000) loan for a week or two; if he’s unaware of all this, you need a new LO.

Related Articles:

Jumbo Loans Stage a Comeback
This Hasn’t Happened in a Long Time - Fixed Mortgage Rates at 4.375%!
Conforming Loans, The Alternative To High Jumbo Rates
Jumbo-Conforming Loan Limit Up to $729,750
Mortgage News - Afternoon Edition - Thursday, May 01^st, 2008