Interest Rates are Up Again - Will It Ever Stop?

Just wait till the rates hit 5%.  I remember saying that as the rates went down.  Now we can say the same thing on the way up!

Bob, per a couple of the regular blogging LO's in here, it looks like it did today.  That being said, if one looks at the typical seasonal history, this always happens over the holiday season as many markets want to come close to "shutting down" so they can figure out what they actually have.  Also, as so many employees take well deserved vacation time, they simply can't get the work out the door in time to close the loans.  So, they intentionally raise rates because of manpower.  Rates will typically drop a little around January 15th, but will start climbing by March 15th, as people start receiving their tax refunds and start spending or seriously thinking about buying a home.  It's a long proven cycle. 

That being said, you're 100% right - people who were pre-approved at 4.5% may find they now have to buy a much lower priced home.  I've always said, if you're comfortable with the rate, just lock it in and don't get crazy over  1/8th percent.  Just DO IT!!!