I have an email from a very large builder. They offer a 30 year fixed rate at 4.875% ( 4.88% APR )
Whats the catch? Well it is available when you buy one of that builders new homes, this weekend.
The builder pays all the closing costs too; which is why the APR is virtually the same as the note rate.
Available? Yes. Common: No.
A survey of national averages indicate an average of about 5.5% note rate and an average APR of about 5.8% APR
(Bankrate.com, Bankmonitor.com, Bloomberg and others).- for a 30 year fixed rate loan.
My loan officer can beat the national average on any given day for high credit score owner occupant buyers. In order to obtain the 5% APR with her or most any lender today, you would need to have the seller make a contribution to the loan fees, as the builder that I mentioned is doing. Resale sellers have the option to this if they want to compete with new home builders.