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Arkansas Mortgage Rates Low but Not Equal
By The Mortgage Bank of Arkansas
Dated: Dec 22, 2008
Arkansas Mortgage Rates Are Low But Some Are Lower Than Others
Mortgage Rates in Arkansas and around the country continue to drop. As of end of the week Dec 18, the
national average was at its lowest since 1971 when Freddie Mac began the survey. Rates closed the week
down to 5.19 percent compared to last week’s close of 5.47 percent
The large decrease for the week can mainly be contributed to Federal Government announced it was ready
to expand the purchasing of mortgage related assets.
Not all is equal however when to comes giving out the best rate. Before the current credit crunch started 18
months ago a person with a 640 credit score would be offered the same rate as someone with a740 credit on
a conventional loan. Lenders have now gone to tiered risk based pricing. If a borrower falls in the lower
range of conventional credit scores they should not expect to receive the best rates available. The swing
between the best rates available and the low end can be anywhere from ½ to a full 1%.
Walt Terry, President of The Mortgage Bank of Arkansas, a unit of Allied Bank, in Little Rock, Arkansas,
said customers are just starting to get used to the differences in rates.
"We're are starting to see a spike in loan applications and with that it takes a little explaining to the
customers who do not qualify for the best rates”.
Mortgage Rates more than likely will not get back to the 6-6% range anytime soon. Most analysts are
predicting low rates for the better part of 2009. It will depend on how long the credit markets take to work
the issues out. To get the latest Arkansas Mortgage Rates visit http:// www.themortgagebankar.com
The Mortgage Bank of Arkansas knows that each customer has specific loan or mortgage needs, so we
strive to meet those specific needs with quality service and individual attention for people in Arkansas.
Loans, Mortgage, R