It was a short week, but a good one for mortgage rates. As we saw in the Freddie Mac PMMS, a massive bond rally early on in the week pushed rates to new 2017 lows. Given the drop in rates, it makes sense for anyone considering a refinance or purchase to take five minutes this weekend and find out what their custom rate would be. Read on for more details.
Where are mortgage rates going?
Rates finish the week down
It was a short week but a lot happened. Starting things off we got the massive rally in bonds on Tuesday after tensions came to a head with North Korea testing their largest-ever nuclear missile last weekend.
Click here to get today’s latest mortgage rates (Sep. 8, 2017).
With a flood of investors moving into government bonds, the yield on the 10-year Treasury note sunk to a 10-month low. Mortgage rates typically move in the same direction as the 10-year yield and similarly touched down on fresh 2017 lows this week.
Here are the numbers according to the Freddie Mac Primary Mortgage Market Survey yesterday:
- The average rate on a 30-year fixed rate mortgage fell four basis points to 3.78% (0.5 points)
- The average rate on at 15-year fixed rate mortgage fell four basis points to 3.08% (0.5 points)
- The average rate on a 5/1 year adjustable rate mortgage rose one basis point to 3.15% (0.4 points)
This is the first time in 2017 that the average on the 30-year fixed fell below 3.80%. To put it in perspective, the highest reading this year in the PMMS for the 30-year FRM was 4.30%. That’s a big difference.
Clearly, right now is a great time to be on the market for a purchase or refinance. Rates are up slightly from the start of the day but they haven’t climbed out of the dip caused by yesterday’s dovish statement from ECB President Mario Draghi and are far off from where they started the week.
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What does this mean for me?
Lock now while rates are this low
With rates down at extremely accommodating levels, right now is the perfect time to lock in a rate on a purchase or refinance. If you’ve been considering about taking action, you owe it to yourself to take some time this weekend and find out what your custom rate would be.
To get the most accurate idea of what kind of rate we could offer, you should fill out our short form and get a personalized rate quote. Or, if you’d rather talk to someone, you can always call one of our experienced mortgage specialists at 855-267-0245.
They can walk you through the same process, clarifying any questions you may have, and let you know what your custom rate quote is.
Today’s economic data:
Fedspeak
Philly Fed President Patrick Harker at 8:45am.
Notable events this week:
Monday:
- Markets Closed: Labor Day
Tuesday:
- Fedspeak
- Factory Orders
Wednesday:
- International Trade
- PMI Services Index
- ISM Non-Mfg Index
- Beige Book
Thursday:
- Jobless Claims
- Productivity and Costs
- EIA Petroleum Status Report
- Fedspeak
Friday:
- Fedspeak
from Total Mortgage Underwritings Blog http://ift.tt/2xifDff
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