I looked at the Wells-Fargo web site this morning: the difference on APRS between jumbo and conforming 30-year fixed rate mortgages was 156 basis points.
I looked at the Citibank web site this morning: they were requiring five (five!) points to get a 30-year fixed rate mortgage; the difference in APRs was more than 200bp (and this assumes points are amortized over the full term of the loan--the real gap is actually larger).
I looked at the National City web site this morning: they are not quoting rates on jumbos.
Historically, the jumbo-conforming spread is less than 50 basis points. It is going to be very difficult for coastal markets to get unstuck so long as so much fear is gripping the market.
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