Mortgage Rates Have Moved Higher:
Remember the excitement back in March? Mortgage rates were moving lower and nearly everyone was saying mortgage rates would either keep going lower or worse case still low for a long time.
Well that didn't happen.
For nearly two weeks we've seen mortgage rates nationwide move higher. California mortgage rates are some of the most aggressive mortgage rates in the country due to loan sizes however we've also seen our share of mortgage rates moving higher. In our market we've seen a 0.125% - 0.25% increase in rates since April 1st.
Is It Still A Good Time To Buy or Refinance:
Absolutely however a lot depends on your individual situation. California refinance rates are only 0.125% - 0.25% above their 2019 lows. So if current mortgage rates make sense then you should consider a refinance of your current mortgage.
As for buying a home; if you have found your ideal a home why would you want to miss out on that just because interest rates are slightly higher? If you have the opportunity to purchase a house that fits you and your family perfectly then avoid missing out on that opportunity.
What Will Mortgage Rates Do The Rest Of The Month:
Predicting mortgage rates is difficult at best. There are so many factors that go into mortgage rates that no one really knows what they will do next week, next month or next year.
What we can do though is make an educated guess with the understanding that it may be wrong.
If you remember back to December 2018 - January 2019 you'll recall a significant move down in mortgage rates took place. At the end of the month mortgage rates moved higher for a few weeks and eventually established a range that lasted until the middle/end of March 2019.
It would not surprise me to see the market start to form a range over the next week or two. In fact today's move could be the start of that. Despite stronger than expected economic data out of China; bond markets improved today. That's a great sign and hopefully it's the beginning of further bond market/mortgage rate improvements.
The next test will come tomorrow with the Retail Sales report. A below expectations reading will be a positive for bond markets and mortgage rates.
Loan Officer Kevin O'Connor:
If you are thinking of purchasing a home or refinancing a current mortgage be sure to contact me directly for a no-cost/no-obligation quote. You can visit us online, on my Facebook page (Loan Officer Kevin O'Connor) or call me directly at 1-800-550-5538.