Chandler Mortgage Rates For October 10 2008

With so many things happening in the market this week, we are recommending that you lock your rate as soon as possible if you are currently in the application process.

When emotion drives a market like it is now, it is better to be safe than sorry.

Some of the market moving highlights of the week include:

The Treasury may soon be buying ownership stakes in banks

AIG has tapped $70 of the 85 Billion bailout so far with another 40 Billion (or so) approved from the NY Fed to keep operations going

The Fed starts buying (an unlimited amount of) commercial paper

One year after hitting it’s all-time high, the DJIA has huge daily swings and ends on Thursday at its lowest point since 2003.

The Fed cut the overnight lending rate for banks by 1/2 point to 1.5% (note: NOT mortgage rates!) and got most other major world governments to make similar rate cuts.

The Treasury is said to be preparing term sheets to inject capital directly into individual banks.

Hopefully next week our crystal ball looks a little clearer, but we are not counting on it!