Week of 10/09/2017
|Conv. 30 Year Fixed||4.125%||4.169%|
|Conv. 15 Year Fixed||3.500%||3.578%|
|FHA 30 Year Fixed||3.500%||4.522%|
|VA 30 Year Fixed||3.625%||3.957%|
Rates are based on these Terms & Conditions
YTD Rate Trend
Weekly Market Commentary
Freddie Mac: http://www.freddiemac.com/pmms/
The 10-year Treasury yield continued its upward trend, rising 7 basis points this week. As we expected, the 30-year mortgage rate followed suit, increasing 5 basis points to 3.83 percent. This week’s uptick in the 30-year mortgage rate ends a nearly two-month streak of declines.
Mortgage News Daily: http://www.mortgagenewsdaily.com/reports/weekly_mortgage_rates/
Mortgage rates continued higher this week with the key event being Wednesday’s Fed Announcement. As expected the Fed officially announced the start of it’s balance sheet normalization plan. This means they’ll be buying fewer bonds–something that helps mortgage rates.
At face value, the Fed news would be the biggest deal for rates, but traders were almost 100% certain it was going to happen. Instead, it was the Fed’s rate hike forecasts that pushed rates quickly higher on Wednesday afternoon. The Fed still sees rates rising faster than most investors anticipated based on the past few months of economic data and Fed speeches. That required a quick adjustment on the part of markets, but once the adjustment was don, rates didn’t move any higher on Thursday or Friday.
Most borrowers are seeing rates that are an eighth of a point higher from recent lows, with the average top-tier conventional 30yr fixed quote between 3.875% and 4.0%.