Should I Float? Should I Lock? - Daily Update for Monday, October 5, 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.
With the Service Sector Index coming in slightly better than expected as well as higher than last month, this is allowing investors are moving forward with stocks and selling bonds to support their habit.
Look for rates this morning to increase from where they closed yesterday when rate sheets are released by Amerisave Mortgage Corporation.
Technically speaking - the FNMA 4.5% 30 year bond having a tough time with its current resistance level. The bond being high in overbought status.
I am recommending to
LOCK your best mortgage rate. (This is the closest I will come to going back to floating. With lenders no longer offering over night pricing - this is an awesome time to lock in a great 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
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Matt....good to see bond prices where they are. The rates are the best right now....but a gambling man such as myself says hey....you can afford to give up a bit to gamble to get even better. You're right with your advice, but I'll take the odds.