Strong Day of Gains

It was a strong day in the mortgage backed securities market, evidenced by the graph to our right. Curiously however, reprices were slow to come, some not at all from lenders that you would have expected improvement from. If you are currently approved with a lender that did reprice, take a good look at the rate sheet, if you're approved with a lender that didn't reprice, holding off until tomorrow's opening may prove to be the smart play.

We have to play close attention to that treasury yield (yellow) which is rising slowly but surely. This will put pressure on our market should it continue.

Additional considerations include longer underwriting turn times at the most favorable lenders. As a result most are either floating in open market for a longer period of time, or forced to take a 45 day lock to ensure they will not need extensions at the time of closing.

Considering this fact, it would be wise to begin paperwork and submit as soon as possible if you are considering taking advantage of these rates.