Colorado Mortgage Rates

Freddie Mac's Primary Mortgage Market Survey® (PMMS®) surveys lenders each week on the rates and points for their most popular 30-year fixed-rate, 15-year fixed-rate, 5/1 hybrid amortizing adjustable-rate, and 1-year amortizing adjustable rate mortgage products. The Primary Mortgage Market Survey® only contains data on conforming loans. Non-conforming loans are NOT included in the survey. A conforming loan, in this case, is a loan that meets Freddie Mac guidelines for requirements such as term, loan-to-value and other factors. Loans over $417,000 or loans to borrowers with poor credit, for example, would not be conforming and would therefore not be included in the above survey numbers.

If you are looking for the best mortgage rates in Colorado, it is important to understand that interest rates change daily and vary depending on your unique situation and what type of loan you're looking for. Not only does this make some loan programs more beneficial than others, but in most situations, advertised rates and "live" rate feeds available online are skewed towards a target market and don't even apply to many, if not most.

Most Internet mortgage rates are "teaser" rates. The low rate you see on an Internet site might only be good for one month, for example, after which it adjusts. Other rates are low because of sizeable discount points (each point is one percent of the loan amount), origination fees and "other fees" that can amount to thousands of dollars. Advertised rates are targeted to borrowers with A+ credit. Usually they are based on a short lock period—say 10 days. Almost no one can close in 10 days. Most advertised rates are based on best case scenarios that almost no one qualifies for. Some advertised rates (particularly on the Internet) are outright lies. Web sites simply make up a rate that sounds good so that they can capture your information through submission forms. These web sites don't even offer loans; they are simply lead generators. After dangling a particularly enticing rate in front of an unwitting borrower, they proceed to capture personal information (such as email, phone, address, credit status, etc.) and promptly sell that information to whoever wants to buy it.

The Internet is a hotbed for false advertising. Unfortunately, deceptive mortgage rates are more often the rule than the exception. The rates quoted above are real rates. These are rates that borrowers actually paid. The rates are updated weekly (usually on Thursdays), so the rates are very accurate. These rates are provided by Freddie Mac. Since 1970, Freddie Mac has financed over 50 million homes. Freddie is a giant in the mortgage business.

The rates shown above are averages, compiled after surveying lenders. Freddie Mac has been surveying lenders since 1971. The rates are published weekly in a report known as the Primary Mortgage Market Survey®. Since the rates are averages, a particular borrower might qualify for a rate below or above the survey rates. They are really just a gauge, but they are the most accurate estimate of mortgage rates that you are likely to find.

It's difficult to get an accurate rate quote on the Internet. The reason is that a mortgage broker needs quite a bit of information in order to provide an accurate quote. The best way to get an accurate rate quote is to pick up the phone and call—my direct line is 303-800-3648.

 

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