Mortgage rates have troughed. Or, so it seems.

According to Freddie Mac’s weekly Primary Mortgage Market Survey, the average 30-year fixed rate mortgage is 4.00 percent nationwide — roughly the same rate as it’s been for 5 weeks.

During that times, rates have ranged between 3.97 and 4.02 percent with an accompanying 0.7 discount points, plus “typical” closing costs. Closing costs vary by state and 1 discount point is equal to 1 percent of your loan size.

In other words, to get the weekly, published Freddie Mac rate, borrowers should expect to pay a complete set of fees to their respective lenders. The larger the loan, the higher the costs. “Low-fee” and “no-fee” loans are available, too — typically in exchange for a slightly rate.

A breakdown of the Freddie Mac survey shows that interest rates and discount points vary by region. Typically, states in the West Region offer the lowest rates but with the highest costs. East Region states work in reverse; rates are often highest but the accompanying points are fewest.

The most recent mortgage rate breakdown by region shows :

• Northeast Region : 4.00% with 0.7 discount points
• West Region : 3.96% with 0.8 discount points
• Southeast Region : 4.06% with 0.9 discount points
• North Central Region : 3.97% with 0.7 discount points
• Southwest Region : 4.04% with 0.7 discount points

What’s most notable, though, is that in all 4 regions, rates are well below their 2011 highs. Since mid-April, mortgage rates have been in descent, dropping for 5 consecutive months before reaching to their current, “rock-bottom” levels in early-November.

Since then, however, rates have idled and the forces that combined to make rates low throughout San Mateo are subsiding. The U.S. economy is showing signs of a rebirth; the Eurozone is edging closer to solvency; and the housing market is recovering.

So, if you’ve been wondering whether now is a good time to refinance, or whether higher rates will harm home affordability, the answer is yes. Get in touch with your loan officer to review your home loan options because, looking ahead to 2012, mortgage rates look poised to rise.

Image by Wonderlane via Flickr

Once your loan is approved, you will be ready to take the final step that will
lead to the door of your new home.  Many homebuyers are intimidated by
the closing process, but it’s not as complicated as you may think.  In fact,
finding the right home is much more difficult than closing the deal.

Making It Official

The closing process begins with the borrower and lender meeting in the
presence of a notary public.  This is a person who is authorized to oversee,
create or certify contracts, deeds and other legal documents.  At the
conclusion of the signing, the notary public will provide their stamp and
signature, which certifies the identification of everyone present and the
signatures on the loan application.

Handing Over The Cash

When you meet with the lender to close the loan, you will be required to
produce your down payment and, if required, the closing costs.  Ask your
lender about acceptable payment methods, which may include a cashier’s
check or other certified funds.  If you have an account with the lender, a
personal check may be accepted in some circumstances.

Review The Loan Documents

At closing, this will be your final opportunity to review the loan documents.
You should make sure that everything is accurate and as promised, including
the interest rates and loan term.  It’s also important that you confirm that
the names and addresses are correct, along with other important information
relating to the loan.  If anything is inaccurate, now is the time to make
changes.  Never sign the loan documents until everything is perfect.

Sign Here, Please

Once everything is verified and the loan documents are approved by both
you and the lender, it’s time to sign on the dotted line.  Believe it or not, this
is one of the most nervous times for a homebuyer.  If you’ve chosen the
right home and are comfortable with your loan, however, it can also be one
of the most exciting.  Once the documents are signed, the notary public will
affix his/her stamp and signature.

It’s A Done Deal

The final step in the closing process is a simple handshake.  Most lenders and
homebuyers will extend their hands and, with a smile, the person who was
just a homebuyer is now a homeowner.  Now that’s something to shake on!

With the keys to your abode now firmly in hand, it’s time to get moving and
turn your new house into a home.

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The national foreclosure rate is finally falling.

According to foreclosure-tracking firm RealtyTrac.com, the number of foreclosure notices dropped 2 percent between April 2009 and April 2010.

2 percent may not seem like much, but it’s the first time in the history of the RealtyTrac report that the annual foreclosure rate has dropped.

To be sure, foreclosure rates remain elevated — more than 300,000 were reported last month, but default notices appear to be approaching a plateau.

The RealtyTrac report shows some other interesting statistics, too:

• 6 states accounted for more than half of April’s bank repossessions nationwide
• For the 40th month in a row, Nevada topped the nation’s foreclosure rate
• Foreclosure rates dropped in both California and Arizona, 2 foreclosure hot-spots through 2009

The good news for housing doesn’t stop there.  9 of the top 10 leading metropolitan areas for foreclosure-related activity showed a drop in annual activity.  Only Reno, Nevada showed an increase.

Buying distressed homes is big business, according to the National Association of Realtors®, accounting for 35 percent of all home resales with a typical discount ranging near 15 percent on value.

But with the discount comes some caution. You need to know how buying a foreclosed can be different from buying a non-foreclosed home.

For example, distressed properties are often sold as-is and may have defects that render them “un-lendable”.  Secondly, “quick closings” aren’t usually possible with bank-owned homes — you’re often at the bank’s schedule and mercy.

And, lastly, not all foreclosed homes are searchable online. You’ll usually find more stock if you work with a real estate agent versus searching online.

The RealtyTrac foreclosure report is thorough and can help you gauge what’s happening on a state-by-state level, and in the nation’s largest metropolitan areas.  Once you’ve done your research, talk to your real estate agent about what to do next.

There’s still good deals in the foreclosure market — you just have to know where to find them.