Will interest rates go back down?

Blue Loan Services is a full service mortgage company that has been providing California home loan borrowers with the best wholesale home purchase and refinance rates, as well as access to the most trusted California mortgage lenders and specialized loan products for many years. The company’s website offers a number of tools that homeowners and home buyers can use to find the best mortgage scenarios for their unique financial situations and lifestyles, as well as news on the latest mortgage trends and other stories that affect mortgage rates and home prices.

With the surprising sudden increase in mortgage rates last month, many borrowers are asking the question “Will mortgage rates go down again?” The answer to this, according to Blue Loan Services is: not any time soon. Mortgage interest rates are expected to rise rather than fall; however Blue Loan Services can help borrowers to benefit from the best available interest rates regardless of how mortgage rates move.

The company explains that the recent mortgage interest rate increase that happened so fast was the result of investors panicking when Federal Reserve chairman, Ben Bernanke, made statements that seemed to imply that the Fed would be starting to wrap up some parts of their stimulus program. This turned out not to be the case, and later the Federal Reserve clarified that the statements were meant to be taken as good news about the improvements in the economy. However, as an article from the New York Times published last June 20th reports: “…the investors whose decisions spread Fed policy through the economy, responded as if the news had been grim. The Standard & Poor’s 500-stock index took its worst two-day dive since November 2011 and has lost 5 percent of its value in the last month. Wells Fargo, the nation’s largest mortgage lender, raised its advertised rate on 30-year loans to [4.5 percent from 3.9 percent in the same period.”
Since then home mortgage interest rates have stabilized, but they are not expected to go back down to their former low levels. Those who have been planning to purchase a home or refinance before the increase, however, should not put off their plans just yet. The experts at Blue Loan Services point out that rates are still quite low, just a few points above the record lows seen last year and the beginning of this year, so those who wish to take advantage of these rates should do so as soon as possible. The company’s reputation for fast loan closing times, coupled with their online application and documentation system which allows Blue Loan Services clients to quickly find and apply for the best loan products, can help homeowners and buyers in California to quickly lock in these still low rates before they get any higher. A review of this online system from a client living in Pleasanton says:

“I’ve been through the loan process at least 8 times, combined of both loans for home purchases and refinances. This is by far the smoothest and most easy-to-use electronic-approach I’ve ever had, mainly due to Brandon Blue’s expertise and knowledge of the loan process, the quick response times via emails, as well as use of electronic copies of documents. I love how they set up the system, by using an online portal to upload all required documents and update the loan status throughout the loan process, and also the convenience of communicating through emails. Lastly, Brandon Blue was easy to work with.”

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