How low can they go? Freddie Mac reported this morning that average rates on a 30-year fixed mortgage sank to 4.58 percent, blowing past last week's record low of 4.69 percent by 11 basis points. Meanwhile, news just out from the National Association of Realtors is hardly encouraging. Pending home sales, based on homes going under contract in May, fell 30 percent from April and were 15.9 percent below a year ago.
Both houses of Congress have now passed an extension to Sept. 30 of the closing deadline to qualify for the homebuyer tax credit.
The House voted Tuesday to give home buyers who want to take advantage of a lucrative federal tax credit three extra months to complete their home purchase. The measure, which passed 409 to 5, is now headed to the Senate.
Some of the misconceived housing developments built during the boom years might have to be torn down because they don't make financial sense, according to Fannie Mae's chief economist.
Buyers racing to sign home-purchase contracts in time to qualify for a federal tax credit pushed home sales up for the third month in a row. Pending home sales, based on contracts signed in April, are up 6 percent from March, the National Association of Realtors reports. But the Realtors are warning that some buyers may have trouble closing their deals by the June 30 deadline for qualifying for a tax credit of up to $8,000.
The federal government's home buyer tax credit expires at midnight. Will your plans change after it's gone?