Mortgage rates fell again today. Whereas yesterday's improvements arrived in choppy fashion only after many lenders quoted higher rates in the morning. Today's improvement was more conclusive and more consistent from lender to lender. Many lenders were decidedly lower, bringing the average top tier conventional 30yr fixed quote dangerously close to cracking below the 3.0% barrier. See more below.
http://www.mortgagenewsdaily.com/consumer_rates/945181.aspx
It's going to quite interesting to see what it does, if it continues to drop, or if something happens and causes it to go back up.
I'd be perfectly happy if I could get 3.0%, though I also wouldn't mind a lower rate. Makes me curious if the 5/1 ARM is a better choice now?
More so if your current Mortgage 5 year term is ending soon.
It would be nice if VA loans would drop as well, particulary for IRRRL. So far, it makes no sense for me to refi since I am at 3.5%. NFCU is offering 2.75% on a 15 year VA, but the fine print is that it requires the loan to already be with NFCU (which means they are displaying IRRRL rates) or the rate increases 0.75% and there are 0.250 discount points applied. So while on the surface it might look like I'd be getting that 2.75% rate, I'd really be going from 3.5% to a 3.974% APR. 
@K-in-Boston wrote:It would be nice if VA loans would drop as well, particulary for IRRRL. So far, it makes no sense for me to refi since I am at 3.5%. NFCU is offering 2.75% on a 15 year VA, but the fine print is that it requires the loan to already be with NFCU (which means they are displaying IRRRL rates) or the rate increases 0.75% and there are 0.250 discount points applied. So while on the surface it might look like I'd be getting that 2.75% rate, I'd really be going from 3.5% to a 3.974% APR.
Except with your credit and finances why not just do a conventional refi?
My literal 5% down even tacking PMI onto it for the first while comes out to just under 3.5% APR and you would do better than that most likely if you have better LTV. I kick this PMI to the curb and my APR drops by around .25%.
