LUXURY REAL ESTATE AND LOW MORTGAGE RATES

Just when you thought mortgages could not go any lower, for the second straight week fixed rate mortgages have reached new all-time lows making it even more affordable to own a home and here in  Santa Barbara homes, Montecito luxury estate property markets, a strong surge in market activity seems to be continuing as buyers continue to pursue home ownership.
The 30-year fixed-rate mortgage for the week ending May 10th averaged 3.83 percent, down from 3.84 percent average for the prior week with 15 year mortgages also posting record lows, averaging 3.05 percent this week.
Lets look at the numbers in more detail.
> 30-year fixed-rate mortgage: averaged 3.83%, with an average 0.7 point which is down from last weeks previous record low of 3.84%. When compared with the same period last year 30 year fix rate mortgages were at 4.63% and according to Freddie Mac the 30 year fixed rate mortgage, which is the most popular choice among home buyers, has averaged below 4% every week, except one, since December 8th, 2011.
> 15-year fixed-rate mortgages: averaged 3.05% with an average 0.7 point again dropping from the previous weeks record low of 3.07%. When compared with the same period year over year the prior years average was 3.82%
> 5-year adjustable-rate mortgages: averaged 2.81%, with an average 0.5 point which is down from last week’s 2.85% average and down from 3.41% when compared with the same period last year.
>1-year adjustable-rate mortgages: averaged 2.73% with an average 0.5 point and was actually up from last weeks 2.70% but was down from 3.11% when compared with the same period last year.
All in all it seems as thought the continued downward pressure on interest rates will continue to spur home buyer demand for more information contact Cristal Clarke at Montecito-Estate.com