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Chase Bank published higher mortgage rates on December 4, 2013


Chase Bank published higher mortgage rates on December 4, 2013

Chase Bank published higher mortgage rates on December 4 2013After making no changes to the benchmark 30 year mortgage interest rates for more than a couple of days, JP Morgan Chase Bank (NYSE: JPM) [stockdata ticker=”JPM”] published higher rates of interest for its new home purchase and refinancing options on December 4, 2013.

Today, the standard 30 year fixed rate mortgage loans are published at an even higher interest rate of 4.625% and an APR yield of 4.668%. Likewise, borrowers would also have to deal with a higher interest rate if they are to take the shorter route. The 15 year fixed rate mortgages are not quoted at an increased interest charge of 3.750% and an APR yield of 3.860%.

For mortgagors looking for some flexibility in interest rates, the adjustable rate mortgage deals at Chase Bank might seem a little expensive today. The bank published its 5 year ARM deals against a lending charge of 3.375% and an APR yield of 3.118% to start with. However, the 7 year adjustable rate mortgage loans can be availed by bearing an interest burden of 3.750%, along with an APR yield of 3.353% today.

When it comes to refinancing options, JP Morgan Chase Bank caters to the needs of borrowers by providing 30 year refinancing FRM loans at an interest rate of 4.500% and come along with an APR income of 4.629%. The relatively shorter, 15 year refinancing fixed rate mortgages carry an interest cost of 3.500% and are backed by an APR of 3.701%.

In the refinancing category of adjustable rate mortgages, the 5 year refinancing ARM deals stand quoted at a rate of 3.250% today and carry an APR yield of 3.074%. The more flexible, 7 year adjustable rate mortgage loans can be obtained at an interest charge of 3.500% and an annual percentage rate of 3.255%.

Higher legal expenses and hampered demand of mortgage loans due to soaring interest rates caused JP Morgan Chase Bank to face the first decline in the bank’s profits since the year 2009. Though the net interest margins enjoyed some benefits out of the rise, they were still a lot lower than the figures recorded a year before.

According to the third quarter regulatory update issued by the bank, the increased interest rates have reduced the monetary value of bank’s fixed income assets and have worn out the demand of mortgage refinancing options in the market.

Disclaimer: The rates quoted above are basically the average advertised by a particular lending company. No guarantee of taken from the lender’ aspect whether the borrower will qualify for the mortgage rates mentioned in the article. The lenders dole out interest depending upon various facets, some of which may be unique to the borrower. This website does not engage in the sale or promotion of financial products and makes no claims as to the accuracy of the quotation of interest rates.

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Stephany Morgan covers business and finance related news.

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