ABBA First Mortgage News

Moving up and down within the “channel”. Rates are holding steady.

January 18th, 2019

We thought it was over. Interest rates continued their uphill climb with the 30 year being advertised in the 5’s. However after dropping for six consecutive weeks, according to the Primary Market Survey from Freddie Mac, rates have remained flat. At ABBA First, we see some stability to slightly improving possibilities in the short run.

“Weaker manufacturing data and a more dovish tone from the Federal Reserve left mortgage rates unchanged relative to last week,” said Sam Khater, chief economist at Freddie Mac. “However, interest rate-sensitive sectors of the economy–such as consumer mortgage demand and homebuilder construction sentiment–are on the mend, which indicates that lower interest rates are beginning to have a positive impact on some segments of the economy.”

The 30-year fixed-rate mortgage averaged 4.45 percent with an average 0.4 point for the week ending January 17, 2019, unchanged from last week. ABBA First was at 4.25% with 0 points. A year ago, the 30-year FRM averaged 4.04 percent.
The 15-year fixed-rate mortgage this week averaged 3.88 percent with an average 0.4 point, down from last week when it averaged 3.89 percent. A year ago, the 15-year FRM averaged 3.49 percent.
The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.87 percent with an average 0.3 point, up from last week when it averaged 3.83 percent. A year ago, the 5-year ARM averaged 3.46 percent.

Before you decide to finance your home with any lender that claims to have the best, or with a builder that may be offering a cash incentive if you use their lender, please call us. If we cannot beat the best offer that you received, we’ll tell you that you’ve found something that can’t be beat. BUT typically, we’ll save you money at closing AND with your monthly payments. Thisis an offer that you shouldn’t pass up. Knowing that you found the best is what you were looking for in the first place. Call 910-332-0650 and ask to speak to Rich.

Finding the right home is hard enough. Finding the right lender doesn’t have to be.

January 17th, 2019

Some people say that this says it all. Please check our rates page for the lowest rates available! Send us an email or call us at 910-332-0650 for your free quote!

Great rate programs which beats rent programs

January 8th, 2019

There are several new low down payment loan programs that can lead new home buyers down the path to be able to afford the home of their dreams despite slightly higher rates. Along with other lending experts, ABBA First Mortgage agrees that the combination of loan programs designed to reduce up-front costs and technology that speeds the loan process can save consumers significant cash. “We’re seeing an increasing number of people choose low down-payment loans…” said Michael Fratantoni, chief economist for Mortgage Bankers Association. “…and take advantage …of using gift funds for down payments, too, although they’re still being very careful to document the source of the money.”

These days, many buyers can choose from an array of programs offering down payments as low as zero percent (VA and Rural Housing Loans). The “Home Possible” and “Home Ready” programs from Freddie Mae and Fannie Mae allow first-time buyers with an income at or below the median for their area to buy with a down payment of three percent. The down payment funds can be a gift from a relative or an employer, or come through a down-payment assistance program. Both Fannie Mae and Freddie Mac also have guidelines for loan programs with a three percent down payment that are available to all first-time buyers, regardless of their income.

Even if your credit scores are lower than what was the “norm”, our lenders are working with to help our clients with scores in the mid 500’s improve their credit report to the point that they too can be homeowners with a little bit of time, effort and money. It is so well worth it when you think of all the money that you’ll save from throwing away on rent. Please give ABBA First Mortgage a call today and alloe us to find the right program for you! 910-332-0650 Ask for the owner, Rich, and I will personally take care of you.

Although rates have been falling, a steady, slight worsening is forecasted

December 26th, 2018

Rates held after dropping sharply the previous week. For the week ending December 20, Freddie Mac announced that 30-year fixed rates fell slightly to 4.62% from 4.63% the week before. The average for 15-year loans remained at 4.07% and the average for five-year adjustables declined to 3.98%. A year ago, 30-year fixed rates averaged 3.9%. Attributed to Sam Khater, Chief Economist, Freddie Mac — “The response to the recent decline in interest rates is already being felt in the housing market. After declining for six consecutive months, existing home sales finally rose in October and November and are essentially at the same level as during the summer months. This modest rebound in sales indicates that homebuyers are very sensitive to rate changes – and given the further drop in rates we’ve seen this month, we expect to see a modest rebound in home sales as well.” Note: Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes

May you have a blessed Holiday and a Merry Christmas

December 24th, 2018

As we wind down our day this Christmas Eve and get ready to close by noon, we’re thankful to all of our friends and clients that have sent us warm wishes and seasons greetings through numerous cards and emails. It has been a wonderful year and we are always grateful this season to the One that came to earth and was born in a manger who was eventually going to fulfill the plan of salvation that God had planned for each one of us since the beginning of time. It’s hard to believe and it seems like such a far out story, but I know it to be true, for I’ve experienced it rather than just read about it or heard about it. And that is why when we began the quest of having a name for our mortgage company, ABBA (God) First was so fitting at the time and it still is today. So from our hearts to your homes, we wish you all a Merry Christmas!

Mortgage interest rates are expexted to hold steady and may actually improve as we head into the new year. It is my suggestion that you “set the table” and complete your full application that is found on our website and allow ABBA First to assist you in being ready to lock in your rate at a moment’s notice. You can never be too sure when the rates may turn around and go the opposite direction and spike upwards. Call me and let’s discuss rates, fees, or whatever you may want to talk about that concerns you. I’m available at 910-332-0650 ext.101.

Take advantage of the slowdown which may be good news for buyers-

December 18th, 2018

The housing market is showing several signs of slowing, providing a much-needed break for potential buyers who have been waiting to jump into the market. Existing-home sales were 2.4 percent lower in the third quarter than a year ago, and the drop comes at a time when many areas are starting to see an uptick in new listings. Home prices in many markets are no longer rising by double digits—or even single digits—annually. But with a strong economy and low unemployment, the housing dip is more of a rebalancing of the market than a sign of a downturn, housing analysts say.

Sellers are realizing there is a slowdown and are starting to cut their prices to better compete. Nearly 29 percent of listings in major markets during the month ending Oct. 14 saw price reductions, according to the real estate brokerage Redfin. “The cycle has moved from seller-advantage to at least mildly buyer-advantage in many parts of the United States,” writes Kenneth Harney, a nationally syndicated real estate columnist. “If you’re a buyer, take your time. But keep in mind: If you shop diligently, this fall could be a smart time to catch a deal—a marked-down price on the house you really want.”

Source: The Washington Post

 

Our Holiday gift to you

December 13th, 2018

Here is a holiday business opportunity as our gift to you. Do you have a debt elimination plan? Credit card balances are up but so may be your home equity. The average increase in credit card debt last holiday season was over $1,000.  Home equity is at a peak!  How can we help you?  Can we help you try a plan to eliminate all debt?  Here is a quick, but wonderful illustration (comparison) about the impact of a refi.

If you have a $300k mortgage at 4% ($1,432) and $50k in credit card debt at 18% ($1,250), that total monthly payment is $2,682.  Without any negotiating and just for comparisons sake, after refinancing both of these debts together at 5%, your payment will be $1,879, saving you $803 monthly.  And here’s the beautiful part of this equation- if you take the additional $803 that you were paying (which totaled the $2682) and put it towards your mortgage by pre-paying down your principal, you will pay off your 30 year mortgage in 18 years and 2 months.

Please let ABBA First make your dreams come true.  Use a debit card instead of a credit card and follow the steps that we’ve outlined for you above and you will be the recipient of our Holiday gift for you which simply put is a plan for big savings.

Oil prices drop! So do mortgage rates!

November 28th, 2018

As you drive down the street, pass a Gas Station, and see the price per gallon, have you noticed that it seems to be going down a few pennies almost daily?  This drop in price is because the selling price of a barrel of oil on the stock exchange has also dropped and eventually the domino effect typically reaches the MBS market.  In turn, mortgage interest rates have dropped causing a down turn in long term interrest rates.  Today, ABBA  First is offering a discounted rate of 4.50% for a 30 year mortgage.  That’s another industry leading rate in NC for qualified clients.  Call us at 910-332-0650 and apply today for your mortgage.  Don’t delay!  We have seen this happen before where the see-saw principal comes into play.  Start your application process now and set the table before the market takes an upswing.

We saw rate improvements for Thanksgiving which are continuing on so far this week

November 27th, 2018
Rates fell back with the recent stock market turmoil.  For the week ending November 21, Freddie Mac announced that 30-year fixed rates decreased to 4.81% from 4.94% the previous week.  The average for 15-year loans fell to 4.24% and the average for five-year adjustables eased to 4.09%.  A year ago, 30-year fixed rates averaged 3.92%, close to one percent lower than today.  ABBA First Mortgage has been offering one of the lowest rate and term combinations (4.625% with 0 pts.) available for the right clients when they are ready to lock in their mortgage loan transactions. Please give us a call at 910-332-0650 and find out for yourself just what we can do for you whether purchasing or refinancing your home!  Attributed to Sam Khater, Chief Economist, Freddie Mac — “The downward spiral in oil prices and a volatile equities market caused rates on 30-year fixed loans to decline 13 basis points to 4.81 percent, the largest weekly drop since January 2015. Rates on home loans are the lowest since early October and the dip offers a window of opportunity for would be buyers that have been on the fence waiting for a drop in rates.

Note: Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes

Personal Post from ABBA First

November 26th, 2018

Today is Monday and we are back in work and looking forward to serving you well for all your mortgage needs this week.  We hope that you all had a wonderful extended Thanksgiving weekend which was one of the few 4 day weekends that ABBA First acknowledges during the year.  No.  It isn’t necessarily a Holiday that is recognized by the state, the church, or all school systems for that matter.  And we know it certainly isn’t recognized by the retail industry- for Friday is one one of the biggest selling days of the year.  But for ABBA First, we make it a time for family to get together as we celebrate the blessings that God has allowed us to have over the past year and, as a family with our children and grandchildren, we give thanks on Thanksgiving to Him for His provisions.  Besides that, we also celebrated Christmas this year so we called it “Thanksmas”.  We decorated our house for Christmas and exchanged gifts with our children with Christmas music sofly playing in the background (well actually it was blaring but with six grandchildren…well, you get the picture).  It was wonderful.  Now come Christmas Day, our children can be with their in-laws without fear of having to meet deadlines to get from place to place.  It will be peaceful for all!  I hope that your holidays will be blessed and that you too will have a peace as you celebrate these wonderful days with your loved ones.  Merry Thanksmas to ALL!