Do you remember what it was like when you were a kid, waiting for Christmas to come? This was a magical time, and, if you were like me, you spent hours looking through catalogs, made up lists that went on for pages and fantasized about all the loot you were going to get. Your parents probably tried to lower your expectations some, saying that this was a big list, and Santa wasn’t going to be able to get you everything you wanted. But maybe there were one or two things that were the real deal, the things that you were really hoping for. Then, Christmas finally came, and there were presents under the tree, and when you unwrapped everything, you got exactly what you expected. Not everything you wished for, maybe, but you did get what you were expecting, which after all was what you really wanted. Maybe you even got a little extra, maybe there were some surprises which weren’t even on the lists your wrote, but were great presents. And then, when all the excitement of Christmas  and unwrapping presents was finally over, you felt a let down. A sense of disappointment. That was the mood in the bond markets this week. The Fed announced a new round of quantitative easing this week (QE2), just as expected, and the details were slightly bigger than expected. But disappointment set in soon.

The markets sold off after the Fed announcement, and though bonds recovered some of the loss, trading for the rest of the week has been extremely volatile. Part of this is also due to the market’s short term focus. QE2 is here because it is the only real plan for getting money into the economy and stimulating growth (along with a little inflation). But the economic reports this week all painted a better than expected picture of the economy.  Nonfarm payrolls increased by 151,000 in October (only 60,00 new jobs were expected), though the unemployment rate was unchanged at 9.6 percent. The ADP employment report showed an increase of 43,000 private sector jobs in October, again, better than expected. The ISM employment index also increased slightly in September, and car sales were much better than expected. These were all good signs and show that there is some life in the economy. But the fact that the patient is breathing is the bare minimum. Especially if the goal is to run a marathon. It takes 100-150,000 new jobs each month to make up for those entering the job market for the first time. It will take much better numbers than what we saw this week to get the economy back on track and reduce unemployment. So time well tell if the Fed’s plan does as hoped and brings rates down further. There are already some analysts saying it isn’t big enough to do the job, and others saying the move will be counter productive, bringing on a round of inflation we won’t be able to control. What this tells me is that we are in an uncharted area and no one knows what the real results will be. Rates may go lower, but don’t be surprised when sentiment suddenly shifts, spiking rates higher. Any way you look at it, if you are thinking about buying a home or refinancing your mortgage, Christmas came early this year.

Here are the current Chicago Illinois Home mortgage rates for an A+ (740 Fico or above), full doc single family home purchase or rate/term refinance on a 45 day rate lock, with 0 points, and no origination fee, best FHA rates assume a 660 Fico score, but loans are available with credit scores as low as 620. Mortgage rates in other states may be slightly different, give me a call and I will give you an accurate quote for your particular situation. The conventional and FHA rates are based on the highest conforming loan amounts, which give the best pricing. Again, there are many factors which affect mortgage rates and your ability to be approved for a loan. These rates may not fit your situation and this is just a sample of the programs that are out there. If you would like a quote for your personal situation, or to get pre-approved for a mortgage, give me a call or contact me (Illinois mortgage company) and I will take the time to find the rate and program that is best for you:

Conventional loans up to $417,000

For Jumbo loans over $417,000

*(Another option is to break your Jumbo loan into 2 parts a conventional to the limit of $417,000 and a HELOC or fixed second mortgage for the rest. The blended rate is usually much better than a single loan would be.)

** 5-5 ARM is fixed for first 5 years, with 2/6 caps it can’t go more than 2% above the start rate for the next 5 years. 2% cap for next 5 years – so a blended rate over 10 years is no more than 1% over the start rate. Super Jumbos available.

FHA LOANS 3.5% down payment FHA Maximum varies by County

FHA APR reflects 3.5% down payment and the effect of mortgage insurance on the loan. Call for information on no-cost FHA streamlined Refinances

FHA 203K Rehab Loans – Call for Quote

VA Veterans Administration 0 Down Loans

These are just a few of the mortgage programs and mortgage rates available. Which option is best for you depends on your own specific goals and needs. If you have any questions or want to go over your situation in depth, let me know how I can help.

Peter Thompson 630-479-6424

Illinois Mortgage Rates                   First time home buyer loans

Chicago Mortgage Company            Chicago FHA Mortgages

This is one in a series of community profiles and a look at how the real estate market is holding up in the community.

Aurora Illinois is both a far west suburb of Chicago, and the second largest city in Illinois.  The town has grown to 171,000 people, and now is spread into parts of 4 counties, Kane, Dupage, Will and Kendall, anchoring the Fox River Valley. Aurora was at one time a thriving industrial city, but it fell on hard times in the sixties and seventies. It’s revival came about as a result of the suburbs spreading westward, with new subdivisions and housing developments sprouting up past Dupage County and into what was once considered the far reaches of the Chicago area. The downtown area is now benefitting from the Hollywood Casino, and the recently restored Paramount Theatre. Aurora is home to the Fox Valley Shopping Mall and the Waubonsee Community College. Located alongside the I-88 Technology Corridor, Aurora is home to many Fortune 500 corporations, and a big employment center.

The Aurora real estate market ranges includes entry level condominiums, older Victorian homes and subdivisions catering to nearly every price point from first time home buyer to executive. The average listing price for an Aurora home was $214,00 in September. The median sale price was at $165,000 in August 2009. Home prices have decreased by about 12% from last year, and the number of homes sold has decreased by about 26% from last year. Foreclosures and short sales make up a big part of the Aurora real estate market.

Aurora mortgage financing has traditionally been made up of conventional and FHA mortgages. Aurora mortgage rates and Aurora FHA loans are available for both purchases and refinances in every type of Aurora mortgage loan. Aurora home loans are readily available, and as an Aurora area mortgage lender, I can help you find the financing package that is best for you.

Free Home Buyers Guide

No Obligation Free Mortgage Pre-Approval

This is one in a series of community profiles and a look at how the real estate market is holding up in the community.

Wheaton Illinois, a suburb 25 miles west of Chicago, has a population of 55,000 people and is the county seat of Dupage County. Wheaton is known as the City of Churches, and there are over 60 churches inside its city limits. It is also home to Wheaton College, a top ranked Evangelical Christian college. Wheaton was a dry city up until 1985, not allowing any liquor sales within the city at all. This changed when the Danada Shopping complex was being built, as a way to attract more national restaurants. Wheaton still has a small town feel, and a charming down town with shops to fit every need. Wheaton has been listed as one of the best towns to raise a family, and it is known for the quality of its schools.

Wheaton real estate covers nearly every price point. You can buy starter condos and affordable single family homes, mid priced homes, executive homes priced in the millions. The current average listing price for Wheaton homes is about $430,000, and the average sale price in August 2009 was $300,000. Like most of the area, a good part of the market is now made up of foreclosed properties and short sales. First time home buyers are the most active buyers and the lower tiered homes make up the bulk of the sales now.

Wheaton mortgage financing has traditionally been made up of mostly conventional and with some jumbo and FHA mortgages. Now that the FHA loan limit has been raised to $410,000, Wheaton mortgage rates are made up mostly of a combination of conventional mortgage loans and Wheaton FHA loans. Wheaton Jumbo Loans are also readily available. Wheaton home loans are always in demand, and as a Wheaton area mortgage lender, I can help you find the financing package that is best for you.

Free Home Buyers Guide

No Obligation Free Mortgage Pre-Approval

This is one in a series of community profiles and a look at how the real estate market is holding up in the community.

Naperville Illinois, a city of 145,000 people located 28 miles west of Chicago in Western Dupage County, is one of the largest cities in Illinois. Naperville has consistently been named by national magazines as one of the best places to live and a great place to raise a family. Naperville’s school system is recognized for it’s quality nationwide, and most of the students from its 4 high schools go on to college (the ACT ranking is among the best in the state). Unlike most of the nearby suburbs, Naperville is a destination on its own. It anchors the I-88 high tech corridor, and is home to several Fortune 500 companies and the most lively down town shopping and entertainment district outside of Chicago. The Naperville Settlement, a living history museum, and the Naperville Riverwalk add character to the downtown. Big draws during the summer are the Rib Fest and Last Fling festivals, which attract thousands and feature national touring musical acts.

The Naperville real estate market is big enough and diverse enough that it covers every price point from starter condos up through multi million dollar estates. The city covers over 35 square miles in both Dupage and Will County, and is made up of a vast collection of interconnected subdivisions. The average listing price for homes currently listed is over $500,000, and the average sale price in July 2009 was $330,000 – down about 8% from the year before. Most of the sales activity is in the lower to mid-priced range. Over the last few years most of the new construction was in the higher ranges, and the inventory of million dollar plus homes will take years to sell based on the current sales volume.

Naperville mortgage financing has traditionally been made up of mostly conventional and some jumbo mortgages. Home prices have come down nearly everywhere, and Naperville is no exception. With the FHA loan limit now increased to $410,000, Naperville mortgage rates are made up mostly of a combination of conventional mortgage loans and Naperville FHA loans. Naperville is still a relocation destination, and while the premium end of the market has been less active, Naperville Jumbo Loans are readily available. Naperville home loans are well priced, and as a Naperville area mortgage lender, I can help you find the financing package that is best for you.

Free Home Buyers Guide

No Obligation Free Mortgage Pre-Approval

This is one in a series of community profiles and a look at how the real estate market is holding up in the community.

Elmhurst Illinois is a city of about 45,000 people located at the Eastern border of Dupage county, in Chicago’s western suburbs. Elmhurst prides itself as the Tree Town, and is home to Elmhurst College and Elmhurst Memorial Hospital and  the Lizzardo Museum of Lapidary Arts. Elmhurst is an affluent area with a median household income of over $100,000 and an average home price of over $400,000. Elmhurst is more of a bedroom community than an employment center, and most of it’s residents work in Chicago or in other suburbs. There is a thriving downtown, and restaurants range from fast food to white linen fine dining.

The Elmhurst real estate market ranges from some condos and starter homes, to homes priced well over the one million dollar range. The median priced home in July 2009 was $310,000. The average listing price is over $500,000, which shows that most of the sales activity is in the lower end of the market. Home prices have decreased by about 11% from last year, and the number of homes sold has decreased by about 38% from last year.

Elmhurst mortgage financing has traditionally been made up of conventional and jumbo mortgages. This has changed over the last two years as home prices have come down and the FHA loan limit has been increased to $410,000. Now Elmhurst mortgage rates are made up of a combination of conventional mortgage loans and Elmhurst FHA loans. There are still a lot of homes priced in the upper ranges, but with a lack of financing for Elmhurst jumbo mortgage loans, there hasn’t been much turnover in the higher priced homes. Elmhurst home loans are readily available, and as an Elmhurst area mortgage lender, I can help you find the financing package that is best for you.

Free Home Buyers Guide

No Obligation Free Mortgage Pre-Approval