30 Year Fixed Rate at 5.47%

Fixed rate mortgage at 4 year low. A year ago it was 6.11%. This gives chances for the borrowers with full documentation to re-fi or new purchase a good chance. Conforming mortgages have fallen to 5.12% for 740+ credit borrowers. This will not help many borrowers because their credit is weak or not sufficient equity in their house.

Mortgage Rates as Low as 4.5%

Treasury considers encouraging banks to offer Mortgages as low as 4.5%. This is a step to push new home sales&re-finance activity. Government officials are under preasure too address falling prices&mounting forclousers, which under pin financial crisis. To aply for loans borrowers would have to document their income & afford their monthly payments.

Homeowners in Trouble

A survey showed that 1 in every 10 american households with mortgages is overdue adding pressure on Washington to provide relief. According to the mortgage bankers association this is up from 7.3% to 9.2% year a go. The recent surge in unemployment is likely to push foreclosure & delinquency rate higher in 2009.