The bench rate 30-year mortgage fell two basis points from week over week reporting as noted by the Freddie Mac Rate survey. Despite treasury bonds rising the dip was attributed to the survey being completed prior the sell. Consequently, next week and forward consumers can expect rates to rise as treasury yields are expected to climb as well.
Rates are cyclical and even though 10-year treasury bonds are the predominant indices which creates movement, there are other economic events to consider when attempting to peg the right time to purchase a new home or refinance an existing mortgage.
The purchase market has been hot and even though rates remain affordable the challenge for most consumers is being able to afford or justify the higher prices. For those seeking to refinance the challenge is presenting acceptable credit and as well as a property with enough lendable equity.
Here is a snapshot of this week’s rate survey based on year over year data:
|Product||Current||One Year Ago|
|30 YR FRM||3.88%||3.48%|
|15 YR FRM||3.17%||2.78%|