Should I Float? Should I Lock? - Daily Update for Wednesday, September 16, 2009

Here are the daily thoughts on interest rate floating or locking if you are asked by your clients. 

As always - consult your favorite mortgage professional who will be able to offer the best advice for YOUR unique situation. 

Although Consumer Price Index came in slightly elevated, the core CPI came in right on target.  (The core strips away volatile reading such as auto and energy - remember the cash for clunkers program caused an spike in auto sales.) Utilization rose while Production came in level (hmmm).

Look for rates have dropped a bit this morning when rate sheets are released by Amerisave Mortgage Corporation.

Technically speaking - the FNMA 4.5% 30 year bond fallen back below the 200 day moving average.  The bond is coming down from overbought status.

I am recommending to

   LOCK your best mortgage rate.

To learn why one should Float or Lock -

                          Check out Should I float? Should I lock? & Reasons to Float or Lock

To obtain rates and fees with a $500 guarantee - come visit