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The decrease for 30-year fixed-rate mortgages is the first in four weeks.
Smaller down payments are still possible (if you meet the requirements), but homebuyers should shop around for the right mortgage for their finances.
You may save some money come tax time if you consider these options.
Mortgage rates would need to exceed 10 percent for renting to become the less-costly option, Trulia says.
If you're trying to decide between an ARM or a fixed-rate mortgage, you're not alone. Here's a primer on mortgage types.
In the fourth quarter, 19.4 percent of homeowners owed more on their home than what it was worth, down from 27.5 percent in 2012.
The average rate for a 30-year fixed-rate home loan is now 4.37 percent.
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