Houston Mortgage Rates Survey – Week of January 20, 2012

Written by: Scott Sery

According to a recent Primerates.com survey of Houston mortgage rates offered by the largest area banks & credit unions, Houston area banks offered rates at or around 4%  Wells Fargo (www.wellsfargo.com), Compass Bank (www.bbvacompass.com), and Capital One (www.capitalone.com) all offered the rates at 4% on 30-year fixed -rate conforming loans in the Houston metro area for well-qualified borrowers.  Comerica Bank (www.comerica.com) came in about a third of a percentage point higher with rates of 4.31%.

There are two options when it comes to getting an interest rate.  The borrower can either float the rate, or lock it; and there are two different schools of thought on the subject.  Locking the rate means that the lender will guarantee that as long as the loan is closed within a certain amount of time, usually 45 or 60 days, the rate will not change.  For someone who would not be able to afford the loan if it went higher, or if they have analyzed the market and determined it will not go lower, this is the best way to go about obtaining the loan.  If a person is willing to take a little more risk, they can float the rate.  This means that while the paperwork is getting ready, and everything is being finalized, the interest rate could still adjust.  Anyone who has watched the markets lately knows rates fluctuate every day, but for those who think they can time the market, floating might get them a better deal.  Really the best piece of advice is if the loan looks good and it is something you are comfortable with, just lock it in.

Top Houston Area Banks and Credit Unions

As of

30-year Fixed

15-year Fixed

5/1 ARM

Wells Fargo

01/21/12

4.00%

3.25%

2.13%

Compass Bank

01/20/12

4.00%

3.13%

NA

Capital One

01/20/12

4.00%

3.25%

2.75%

JP Morgan Chase

01/21/12

4.13%

3.38%

2.50%

Bank of America

01/20/12

4.25%

3.50%

3.25%

Sterling Bank

01/20/12

4.25%

3.43%

3.00%

Comerica Bank

01/20/12

4.31%

3.43%

3.00%

 

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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Houston Mortgage Rates Survey – Week of January...

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