While conventional loan backing is not explicit as it is with FHA, many argue that the implied guarantee is
keeping conventional mortgage rates artificially low
Not exact matches
Farhaneh Haque, director of
mortgage advice and real estate - secured lending at Toronto - Dominion Bank, says competition among the Big Six banks is
keeping rates down and stopping any of them from raising
rates for
conventional mortgages.
If the Fed maintains its commitment to
keep interest
rates low, the LIBOR, 10 - year swap
rate, and
conventional mortgage rates are likely to remain low.
Most participants said the realistic course of action is to
keep some type of government - backed entity behind the
conventional mortgage market for 30 - year fixed -
rate and other plain vanilla loans.
If the Fed maintains its commitment to
keep interest
rates low, the LIBOR, 10 - year swap
rate, and
conventional mortgage rates are likely to remain low.