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Should I float? Should I lock? - Daily Update for Friday, December 19, 2008

By
Mortgage and Lending with Amerisave Mortgage Corporation

Here are the daily thoughts on 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

No major economic reports out today.  President Bush is enabling the Treasury Department to use part of the $750 Billion to be used as a lifeline to the auto industry.  Since this will appear to be a boon to the stock market - look for bonds to start declining and rates to go up.. 

Technically speaking - the FNMA 4.5% 30 year bond wasn't able to break back above resistance levels yesterday.  Look for bonds to have another weak day especially with the bond still in the overbought range.

I am recommending to

  LOCK your mortgage rate (stays above the multi year average for a couple days).

 

To learn why one should Float or Lock -

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

 


 

 

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Diane Aurit
LKN Realty, LLC - Mooresville, NC
Lake Norman Real Estate

Hi, just dropped in to wish you a happy holiday season and hear your take on rates.  They are pretty darn good right now!

Dec 19, 2008 07:45 AM