By Jim Donovan: If you’re in the market to buy a house, or to refinance your mortgage there is good news to report.
The average rate on the 30-year fixed mortgage fell this week to 4.15 percent, its lowest level on records dating back to 1971.
The average rate on the 15-year fixed mortgage dropped to 3.36 percent, hitting a record low for the third straight week.
The bad news is that if you are buying a home banks are requiring larger down payments than they have in the past. Many are requesting 10 to 20 % down, along with a good credit score. Those who are refinancing face an uphill battle if they haven’t been in their homes very long. Again, if you don’t have at least 10% equity in your home, many banks won’t risk a re-fi.