Mortgage Rate Daily Update

Posted by on Feb 12, 2015 in News | No Comments
Rates At a Glance
Mortgage Rates
Currently Trending
Today’s Mortgage
Rate Forecast
Today’s Potential
Rate Volatility
Higher Higher High
(by Sigma Research)
Today’s Mortgage Rate Summary
How Rates Move:

Conventional and Government (FHA and VA) lenders set their rates based on the pricing of Mortgage-Backed Securities (MBS) which are traded in real time, all day in the bond market.  This means rates or loan fees (mortgage pricing) moves throughout the day, being affected by a variety of economic or political events.  When MBS pricing goes up, mortgage rates or pricing generally goes down.  When they fall, mortgage pricing goes up.  Tracking these securities real-time is critical.  For more information about the rate market, contact me directly.  I’m among few mortgage professionals who have access to live trading screens during market hours.

Rates Currently Trending: Higher

Yesterday’s MBS market was worse by -13 bps. According to Sigma Research there was high volatility.  Yesterday’s move was not likely to have a major effect on rates.  This morning the MBS market is slightly better.

Today’s Rate Forecast: Higher

Sigma Research says that the overall economic data that came out this morning was weak.  Dec. retail sales were disappointing with weak Dec. sales and now weak January sales down .8%.  This is helping the MBS market realize some slight gains this morning (better rates).  However, the market continues to be in a bearish trend (worse rates).  The conflict in the Ukraine continues to be in the news, but doesn’t seem to have nearly  the impact on mortgage rates it once had when the fear of a cold war with Russia was on investors minds.

Today’s Potential Rate Volatility: High

According to Sigma Research the risk for volatility remains high, but does seem to be calming a bit.  The economic numbers this morning would normally cause some significant volatility, but so far that doesn’t seem to be the case.  However, the day isn’t over and we’ll be keeping an eye on the market.

Bottom Line:

If you are looking for the risks and benefits of locking your interest rate in today or floating your loan rate, contact your mortgage professional to discuss it with them.

About Jesse Gonzalez
Jesse is member of the National Ethics Association, a member of the National Association of Realtors, certified with the California Association of Realtors as a Seniors Real Estate Specialist, and Jesse is also proud to be certified as a Military Housing Specialist with USA Cares.
About This Report And Disclosure Information
All information furnished has been forwarded to you and is provided by thetbwsgroup only for informational purposes. Forecasting shall be considered as events which may be expected but not guaranteed. Neither the forwarding party and/or company nor thetbwsgroup assume any responsibility to any person who relies on information or forecasting contained in this report and disclaims all liability in respect to decisions or actions, or lack thereof based on any or all of the contents of this report.

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