California mortgage rates have hit 2 month lows, according to FreeRateUpdate.com, who researches wholesale mortgage lender's rate sheets. The current CA 30 year fixed rate is 4.75%. The current CA 15 year fixed rate is 4.25%. CA FHA mortgage rates are also at a 2 month low FreeRateUpdate.com says. Current California FHA mortgage rates are the same as conforming with the exception of the 15 year fixed FHA rate, which is a 1/4 higher.
It's unknown what effect new FHA guidelines and higher fees will have on the Los Angeles housing market. Also, the Fed will discontinue their purchase of MBS which many think will cause a significant hike in mortgage rates. December pending home sales came in far better than expected but the consensus is that we're not yet at a full recovery.