Mortgage rates are most influenced by the bond market and the bond market is most influenced by the Federal Reserve (aka "The Fed"). So when the Fed says it expects rates to be "zero" at least until the end of 2023, does the same go for mortgage rates? That would be nice, but unfortunately, that's not how it works. The Fed dropped its policy rate to 0% back in March--the same place it had been for nearly 6 years after the financial crisis. Mortgage rates were in completely different territory during that time and they've often moved in the opposite direction since then. With this in mind, how can we say the Fed is so important to the bond market and mortgage rates? First off, there's a clue in the chart above. Although we can highlight time frames where the two rates moved in opposite directions

September 21, 2020 Download our Mobile App: Download our Mobile App: 30 Yr. Fixed 6.29% +0.01%   6.11% 7.26% 15 Yr. Fixed 5.69% +0.04%   5.54% 6.59% 30 Yr. Jumbo 6.25% +0.00%   6.25% 7.45% Compare Mortgage Rates from Local Lenders for Sep 21, 2020 Here's What The Fed's 0% Rate Outlook Means For Mortgages and Housing Fri, Sep 18, 2020 5:38PM Mortgage rates are most influenced by the bond market and the bond market is most influenced by the Federal Reserve (aka "The Fed"). So when the Fed says it expects rates to be "zero" at least until the end of 2023, does the same go for mortgage rates? That would be nice, but unfortunately, that's not how it works. The Fed dropped its policy rate to 0% back in March--the same place it had been for nearly 6 years after the financial crisis. Mortgage rates were in completely different territory during that time and they've often moved in the opposite direction since then. With this in mind, how ... (read more) Mortgage News Daily Rate Change Points 30 Yr. Fixed 6.29% +0.01 0.00 15 Yr. Fixed 5.69% +0.04 0.00 30 Yr. FHA 5.98% +0.04 0.00 30 Yr. Jumbo 6.25% 0.00 0.00 7/6 SOFR ARM 5.68% +0.06 0.00 30 Yr. VA 6.00% +0.05 0.00 Updates Daily - Last Update: 9/9 Freddie Mac Rate Change Points 30 Yr. Fixed 6.50% -0.06 0.00 15 Yr. Fixed 5.60% -0.09 0.00 Updates Weekly - Last Update: 9/4 Mortgage Bankers Assoc. 30 Yr. Fixed 6.64% -0.05 0.59 15 Yr. Fixed 5.84% -0.19 0.84 30 Yr. Jumbo 6.58% -0.09 0.39 Updates Weekly - Last Update: 9/3 UMBS 30YR 5.5 101.06 -0.22   97.47 101.61 UMBS 30YR 6.0 102.36 -0.18   99.66 102.50 10 YR Treasury 4.082 +0.043   3.621 4.780 MBS Live Recap: Stocks vs Bonds; Bonds vs Supply Mon, Sep 21, 2020 3:35PM Stocks vs Bonds; Bonds vs Supply There's a fairly strong case to be made for stock market weakness helping bond yields remain lower than they otherwise might be in September.  As such, we'll be watching the bond market's reaction very carefully in the event of a rebound.  Stocks notwithstanding, MBS... (read more) MBS Price Change UMBS 5.0 99.45 -0.32 UMBS 5.5 101.07 -0.21 UMBS 6.0 102.37 -0.17 GNMA 5.0 99.75 -0.32 GNMA 5.5 101.06 -0.13 GNMA 6.0 101.99 -0.20 Pricing as of: 9/9 6:01PM EST US Treasury Yield Change 2 YR Treasury 3.560 +0.073 5 YR Treasury 3.618 +0.056 7 YR Treasury 3.816 +0.048 10 YR Treasury 4.088 +0.048 30 YR Treasury 4.727 +0.037 Pricing as of: 9/9 6:01PM EST Other News Fewer Homes Being Flipped, But Profits Are Up Fri, Sep 18, 2020 12:40PM One out of every 15 home sales in the second quarter of the year were defined as "flips" by ATTOM Data Solutions. A flip is any arms-length transaction that occurred in the quarter where a previous arms-length transaction on the same property had occurred within the last 12 months. ATTOM's second quarter report on flipping says 53,621 single-family homes and... (read more) Forbearance Plan Count Continues to Shrink Fri, Sep 18, 2020 12:37PM There was a fourth straight decline in the number of mortgage loans in forbearance during the week ended September 15. Black Knight says the total dropped by 26,000 or 0.7 percent to an estimated 3.7 million loans. That is down 22 percent from the peak of over 4.7 million in late May. Volumes have declined in 10 of the last 12 weeks. The remaining forborne l... (read more) Refis Increased Slightly in August, FICO Scores Highest This Year Fri, Sep 18, 2020 12:30PM The refinance share of loans originated in August rebounded slightly from July levels as interest rates fell to the lowest in Ellie Mae's history. The company's Origination Insight Report says the average rate on all loans fell to 3.09 percent during the month, down from 3.24 percent in July. The 30-year note rate VA loans fell below 3 percent to 2.86 percen... (read more) MLO, Ops Jobs; Retention, Co-op Products; USDA Rural Conditional Commitments Mon, Sep 21, 2020 10:24AM If you watch the news long enough, you see all kinds of interesting things. Cracker Barrel is adding alcohol to its menu? Yup! And you must watch this clip with Stephen Colbert working out with, and interviewing, the Notorious RBG (“Is a hot dog a sandwich?”) a few years back. We watched Lee Farkas be released from prison after only 9 years. What... (read more) Latest Video Home equity climbs amid the coronavirus pandemic National REIT Association Mid-Year Outlook: Real estate is seeing signs of ... S&P 500 paces for worst September since 2011. What two traders see ahead Consumer sentiment index comes in at 78.9 versus 74.5 estimated Around the Web CNBC House Democrats will unveil bill to avoid shutdown, fund government into December CNBC Government debt rose at a 59% pace in Q2 amid effort to halt virus CNBC Home equity surges as demand soars and mortgage rates hover near lows NAHB Eye on Housing Time to Build a Single-Family Home in 2019 NAHB Eye on Housing New York Led with Employment Gains in August Calculated Risk Blog CoreLogic: 1.7 Million Homes with Negative Equity in Q2 2020 Calculated Risk Blog Seven High Frequency Indicators for the Economy CNBC Treasury yields mixed with stimulus progress, Fed speakers in focus Calculated Risk Blog Sacramento Housing in August: Sales decline Slightly YoY, Active Inventory down 50% YoY Calculated Risk Blog Lawler: Early Read on Existing Home Sales in August CNBC Refinancing your mortgage will cost more thanks to an 'adverse market' fee CNBC Refinancing your mortgage will cost more thanks to an 'adverse market' fee CNBC Fed's Bullard says 'biggest growth quarter of all time' will lift inflation

© 2025  Mortgage News Daily, LLC. | 19701 Bethel Church Rd. | Cornelius, NC 28031 Interest rates displayed are national averages and for informational purposes only. Actual rates from lenders may vary based on several factors including, but not limited to, credit worthiness, ability to replay, credit score, down payment, loan term, etc. This email was sent to: [recipientemail]. Go here to UNSUBSCRIBE from this email.