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Mortgage Rates
30 Yr FRM 4.83% -0.08%
15 Yr FRM 4.32% -0.04%
1 Yr ARM 4.35% -0.11%
5/1 Yr ARM 4.25% -0.04%
30 YR Tres 4.30% 0.01%
Fed Prime 3.25% 0.00%

Recent Polls

Do you expect the home buyer tax credit extension to contribute to a noticeable pick up in loan production?

Created By: Adam Quinones
  • Yes, I anticipate an increase in activity (26.6%)
  • Only a modest upturn in production (44.5%)
  • Nope. 2009 demand stole from 2010 demand (28.9%)
  • Mortgage Rates Inch Lower. Favor Locking Over Floating. Take Your Profits!

    It was a busy day in the rates market yesterday. Although several data releases needed to be digested, the main event was the 30 year bond auction. Recently, while demand for shorter maturity Treasury notes has proven stable in the "post-November 4 FOMC statement" environment, the market has forced yields higher in the long end of the yield curve. Specifically the benchmark 10yr note and the 30 year bond have taken a beating over the past two weeks. Yesterday was the first chance we had to really test market's appetite for longer dated debt investments, which have more of an influence over mortgage rates. Unfortunately, while specific buyers supported the bidding, overall demand was weak compared to previous auctions. Following the release of the auction results, MBS prices plummeted and a few lenders with itchy trigger fingers repriced for the worse. However, soonthereafter the rates market recovered all losses and prices went green on the day! By the end of the day, MBS prices were at their highest levels in quite some time. Most lenders repriced for the better as the gains held until close. To remind readers, as the price of MBS move higher, lenders are able to pass along lower mortgage rates. That momentum has carried over into today as MBS prices are once again slightly higher. ...
  • Little Room For Mortgage Rates to Continue Improving

    Early reports from fellow mortgage professionals indicate mortgage rates holding steady. The par 30 year conventional rate mortgage remains in the 4.75% to 5.00% range for well qualified consumers. There is not much room for MBS prices to move higher or for mortgage rates to move lower at the moment. If you are happy with the rate being offered to you and don’t want to risk rates moving higher, you should lock today. While there still is some room for MBS prices to tick higher, it is better to have locked when you should have floated than it is to float when you should have locked. ...
  • Locking Higher Loan Amounts. Cautiously Floating Less Sensitive Files

    I have been using a well defined trading range to gauge my lock/float recommendations. The idea is to lock at the price highs and float at the price lows. On Friday I recommended floating through the weekend, this strategy worked out well as mortgage rates are modestly improved (not big improvements) today. Considering that MBS are holding near the top side of the trading range and as AQ and MG put it, there isn't much room for MBS prices to continue to improve, I have advised a few of my higher loan amount clients to lock in their loans....
  • Mortgage Rates Back in the Range After Bad Day for Bonds

    Mortgage rates rose yesterday after a better than expected advance read on third quarter GDP sent benchmark yields higher early in the trading session. Making matters worse for the fixed income sector was a recovery rally in stocks and a 1pm Treasury auction. As explained in previous posts, added supply of Treasury debt can have negative effects on yields as traders look for any reason to force rates higher in an effort to earn greater returns. Its the old econ 101 principle: if supply is greater than demand, then prices must fall enough to entice demand. Well...when Treasury prices fall, yields rise, and so do mortgage rates. Yesterday the deck was stacked against the rates market...better than expected econ data, a Treasury auction, and rallying stocks! That's why mortgage rates moved higher.......
  • Mortgage Rates End Week Higher

    Mortgage rates moved slightly higher yesterday but managed to weather the storm of better than expected economic data and earnings reports. Today, mortgage-backed security prices are mostly unchanged and mortgage rates are a few basis points lower. However, compared to last week mortgage rates are about 0.25% higher. ...
  • Mortgage Rates Higher Heading Into Busy Week

    The bond market is closed in observance of Columbus Day. While mortgage-backed securities are not being traded today, several lenders have published rate sheets and many originators are still working...so dont be afraid to contact your loan officer! ...
  • Mortgage Rates Hold Steady After Busy Week

    Mortgage rates moved lower a few basis points yesterday after prices of mortgage backed securities steadily appreciated throughout the day. At 5pm, MBS prices were near their highest level in over 4 months. The main driving force of the move higher was a much weaker than expected existing home sales report. Since many believe that the economy will not recover until housing improves, this disappointing report led to investors selling stocks and moving their money into the relative safety of the fixed income market. Currently, MBS prices sit at the very top of the recent trading range that has kept mortgage rates relatively stable over the last few weeks. By days end lenders passed along the best rates we have seen since early summer. ...
  • Mortgage Rates Holding Below 5.00%

    Despite a rally in stocks, mortgage backed securities managed to post nice gains yesterday after a stronger than expected 30 year bond auction. It is not very common to see stocks and bonds both rally on the same day especially when stocks tested their best levels in over three months. Several lenders did reprice for the better following the auction at 1pm as the gains in MBS price held to the end of the day. To remind readers, as the price of MBS move higher, lenders are able to offer lower mortgage rates. ...
  • Mortgage Rates Move Lower as Market Mulls Health of Consumer

    Following weaker than expected data on retail sales and higher unemployment claims, consumer borrowing costs declined yesterday. Led by a post auction Treasury rally, price of mortgage backed securities moved higher yesterday, giving lenders the opportunity to drop mortgage rates a few basis points. So far today this trend is continuing....