The December 2011 Realtors Confidence Index survey reports that Realtor® current confidence in the single family existing home sales market and in future prospects is increasing. This is another example of slowly improving conditions that may signify that we are in or approaching the start of the residential real estate market recovery, as discussed by a number of other real estate commentators and economists.
Mortgage rates across the board are at historic lows. Everything, from 1-year adjustable rates to 30-year fixed rates, is lower now than it ever has been in most people’s experience.
However, there are gaps to consider. The 15-year mortgage is at 3.2 percent while the 30-year can be obtained at 3.9 percent, a difference of 70 basis points. The 5-year hybrid ARM is 2.8 percent. The 1-year ARM is of no value since it is also being quoted at 2.8 percent. These rates are based on a Freddie Mac survey of lenders.