Good Afternoon,
Is everyone ready to see what kind mortgage rate volatility we are experiencing today? Take a look at the 10-year bond yield graph below. Think of it this way: if the bond yield is in the negatives it helps mortgage rates, if it is the positives then rates should increase. Today we saw rapid movements in both directions. The news that is causing these big swings (as you can see below) is of course the Fannie Mae and Freddie Mac bailout as well as the up and down Lehman Brothers news flooding the financial sector. You can read about this here.
Take a look at this graph of today’s 10-year bond movement. Notice the tremendous swings.
The low mortgage rates are still holding, but as you can see they may slightly go up again. Please contact us of you have any questions. We will update you as more news merits. We expect another fun-filled roller coaster day tomorrow, so if you are refinancing, pulling out equity or simply following the market please stay tuned.
Leave a Reply