Los Angeles Mortgage Rates Survey: Week of January 27th

Written by: CashAdvice Staff
01/31/2012

Los Angeles Mortgage Rates Survey: Week of January 27th

Primerates.com recently conducted a survey of Los Angeles mortgage rates finding that rates remain low at the end of January.  US Bank National (www.usbank.com) offered the lowest rates on 30-year fixed -rate conforming loans in the LA metro area for well-qualified borrowers with 3.50%.  Rates were staggered up with several institutions offering rates of 3.88%.  The top was 4.19%, a rate offered by Comerica Bank (www.comerica.com).

The biggest mistake many new home buyers get into is buying too much house, and then struggling to make the payments.  Often newlywed couples find a house that is comfortable with both of their payments.  But when they get pregnant, or if one of them loses their job, they start to feel the crunch.  There are ways to make sure this will not happen.

Make sure that the monthly payments, including principal, interest, taxes, and insurance, are no more than one person’s income.  If one spouse happens to lose his or her job, the other can keep making the mortgage payments until both are working again.  Things will be tight during those unemployed months, but they will not be forced to give up the house because of the lack of income.

In order to keep the payments low enough so they are affordable, the buyer must decide what is truly important in a home.  While they may want a large backyard with a pool, they really do not need it.  They may want 5000 square feet, but really they only need 3000.  By purchasing a less expensive starter home now they will be able to build up equity and upgrade to a larger house, one that is truly their dream home, later.

Top LA Area Banks and Credit Unions

As of

30-year Fixed

15-year Fixed

5/1 ARM

US Bank National

01/27/12

3.50%

2.75%

2.63%

OneWest Bank

01/27/12

3.75%

3.25%

2.88%

Wells Fargo

01/27/12

3.88%

3.00%

2.13%

JP Morgan Chase

01/29/12

3.88%

3.13%

2.25%

Cathay Bank

01/27/12

3.88%

3.00%

2.13%

Bank of America

01/27/12

4.13%

3.38%

2.75%

Citibank

01/27/12

4.13%

3.38%

NA

Comerica Bank

01/29/12

4.19%

3.38%

2.83%

 

Listed rates from banks, thrifts and credit union were listed on their websites on the date indicated for conforming loans with 0 points.  Data is believed accurate at time of collection, can change without notice, and will vary based on an individual’s credit history.  Contact a specific institution for current rates.


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Los Angeles Mortgage Rates Survey: Week of...

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