Mortgage Rates Moving Lower

There was some question as to whether or not this rally could sustain itself and as we approached historical resistance levels, it became apparent that these levels of resistance were not going to be a factor this time around.

Currently we are up 29 ticks on the day and the rally continues... Below is a long term graph of the mortgage backed securities market. As you can see we've broken through to new highs... and new highs mean lower interest rates. But before you run off and lock, or start your refinance for that matter, keep in mind it typically takes a few days before lenders are willing to give it up. Yes, some may call them prude, others conservative. Whatever adjective you choose to describe your lender, remember we need these levels to hold for a day or two at which time rate sheets will have these gains represented. Currently lenders definitely owe us something... I know something is not very helpful, but something is better than nothing and it is nice knowing that even if this market sells off slightly current rates should not be affected to badly due to lenders hedging.


All things considered this is going to force turn times to lengthen which will complicate transactions and the speed in which they are underwritten and funded. Brokers have the advantage in this regard being able to place loan with lenders that have staffed up for the demand or are running at shorter turntimes. Couple this with the wholesale rates available and brokers look pretty attractive as a financing solution right now in comparison to the cookie cutter retail banks.

Now is an excellent time to discuss your options, and we look forward to hearing from you. Click on the links to find our website and contact us immediately to determine just how much money a refinance can save you. I think you will be surprised.