Rates start off the new year solid.  30 Year Fixed par rates are still at 4.75% , but with a decent yield spread premium so most will require a low amount of origination fees for this rate.  15 Year Fixed rates down to 4.125% and 5/1 ARMs have hit 3.25% again.  Keep in mind every loan prices different based on a borrowers specific situation. 

Big News in loan pricing.  Fannie Mae is chaning the pricing on loans over 70% loan to value.  This means if you fall into a loan to value range of 70-80%, your loan will begin to price worse soon.  If this is the case, you may want to try and get something started before the pricing changes go into effect.

November’s housing data reports show existing single family residence sales up 5.5%.  This is much better than the 10% decrease we saw in October’s reports.  I still remain skeptical that we are on the route to recovery.  Until this foreclosure / short sale situation is more resolved, I don’t see significant improvement in the housing market – specifically in regards to home values.