Week 3 2010 - mortgage briefs
This week was a bit of a wild ride, with the general climate favoring increases in mortgage rates but negative economic news holding rates down. It's my opinion that this holding level will not last long, that rates are going to start their climb ... I even went so far as to suggest they might go all the way to 7% in 2010.
The attached chart is from Marketwatch and shows the last two months for the 10 Year Treasury Bills, note the low in November when we were actually locking crystal clean borrowers with solid equity at 4.5%! Then up above 5% for those same borrowers last week, with a slight retreat closer to 5% this week.
Remember thought that there is no such thing as a rate quote in the current business. If you get a rate quote from a mortgage banker without reviewing a credit report, looking at assets and equity, then the rate quote isn't worth your time. All rates today and in the foreseeable future require a thorough review of the borrowers specific situation. Sorry, the world of interest rates got a lot more scientific following the credit crash of 2008.
I'm staying with my recommendations from last week, if you are in the market and have a property you're ready to buy ... DO IT ... get off the dime and buy before the property value goes up or the rates go up. If you have been postponing a refinance for months, for what reason I don't know, it's time. If you are thinking about getting out in the market, hearing that values have leveled off and you could miss the bottom, let's talk about pre-qualification and getting you ready to pull that trigger.
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