Register or Sign in        Email This Page     Link To This Page    
Visit MND at MBA in NYC!
2,000,000
# of Visitors Per Month
 

Send Article via Email

REGISTERED USERS (Free!):
Can forward to 6 email addresses at a time. Register or Login

Registered users also get the additional advantage of Co-branded Emails and Landing Pages. Learn more about these features.

Your Name: 
Your Email: 
I want to forward this to
(Enter Email Address Below) :
Include a Personal Message (optional)

Please add 1 and 8 and type the answer here:
Leave this field blank.
Email Preview Below:
This feature is now 100% free. Learn More About Co-branded Email and our other Co-branded Services.
 
This email was sent to you by:
Harry Chriest |
Mortgage News Daily

Message:   YOUR MESSAGE HERE
Email alerts, such as this one, are a free service provided by Mortgage News Daily. If you would like to receive an alert when important news breaks please register to join our community.
Mortgage Rates Unchanged After Thursday's Rout
Posted to: Mortgage Rate Watch
Friday, January 18, 2013 3:07 PM

Forward this email:  Send a copy of this story to someone you know that may want to read it.

Mortgage rates were completely unchanged on Friday standing in stark contrast to Thursday's sharp move higher.  While there were several lenders whose rate sheets were marginally changed vs yesterday's, most were strikingly similar.  A handful of lenders issued positive reprices in the afternoon, but Thursday's damage was done and Best-Execution on 30yr Fixed, Conventional loans remained at 3.5%.

(Read More:What is A Best-Execution Mortgage Rate?)

It's worth mentioning that trading levels in the MBS market ("mortgage backed securities" that most directly influence rates) improved today.  This is what allowed for the positive rate sheet changes from some lenders in the afternoon.  Still, we'd typically see more broad-based improvement from the previous day when underlying markets improve.  The fact that we aren't seeing that may have something to do with yesterday's volatility as well as the tendency for lenders to stay defensive with rate sheets ahead of extended weekends.  Bond markets and many lenders will be closed on Monday in observance of Martin Luther King Jr. Day.

Loan Originator Perspectives

"Tuesday and Wednesday this week were the first time rates definitively regained the .125% that was lost as January kicked off. Since rates rose to start the year, we'd been readying client files for the next dip and locked that dip for clients on Tuesday and Wednesday (a "ready" file means a client has provided all their updated income and asset documentation and authorized a credit check). Then rates rose .125% again yesterday and we end the week in that higher territory. Rates are still low, but if borrowers received rate quotes for zero-cost refinance options Tuesday and Wednesday but didn't act, those quotes are likely going to get revised higher. We've seen some slight rate improvement as we're moving into Friday afternoon, but still not enough to get us back to mid-week lows. Rate shoppers holding for better be aware: rates are likely to open next week even to slightly higher." -Julian Hebron, Branch Manager, RPM Mortgage

Today's Best-Execution Rates

  • 30YR FIXED - 3.5%
  • FHA/VA - 3.25% (varies more between lenders than conventional 30yr Fixed)
  • 15 YEAR FIXED -  2.875% - 2.75%
  • 5 YEAR ARMS -  2.625-3.25% depending on the lender

Ongoing Lock/Float Considerations

  • Rates have risen moderately from their all-time lows, making for relatively increased reward for floating at the expense of greater risks of loss.
  • Rates could easily move higher or lower, and unscheduled, unexpected events can ultimately have the most say in the direction.
  • Near term risks in 2013 include the upcoming debt-ceiling debate in Washington as well as the Fed's policy outlook regarding securities purchases.
  • (As always, please keep in mind that our talk of Best-Execution always pertains to a completely ideal scenario.  There can be all sorts of reasons that your quoted rate would not be the same as our average rates, and in those cases, assuming you're following along on a day to day basis, simply use the Best-Ex levels we quote as a baseline to track potential movement in your quoted rate).



More from MND:

 

If you would like to opt-out of receiving email forwards from this person please click here to remove your email address.

Forward this email:  Send a copy of this story to someone you know that may want to read it.

 

More From MND

Mortgage Rates:
  • 30 Yr FRM 4.03%
  • |
  • 15 Yr FRM 3.21%
  • |
  • Jumbo 30 Year Fixed 3.92%
MBS Prices:
  • 30YR FNMA 4.5 108-13 (0-01)
  • |
  • 30YR FNMA 5.0 110-22 (0-02)
  • |
  • 30YR FNMA 5.5 111-17 (-0-01)
Recent Housing Data:
  • Mortgage Apps 11.56%
  • |
  • Refinance Index 23.29%
  • |
  • FHFA Home Price Index 0.67%