Rates Fighting to Stay Low

There is definitely some resistance in the mortgage backed securities markets these days. Yesterday after suffering major losses in the stock market, mortgage backed securities only added 3 ticks. Today, another down day for stocks and we are in the red, currently down 2 ticks... but have been down as many as 8 ticks.

This is mixed news for interest rates. yes we are at historic highs which means rates are as low as they have ever been. But, with the market flailing a little lenders will hedge on the side of caution and rate sheets will not be as favorable as they could be. Moreover, those that have just begun refinancing may not have enough time to lock and close in the desired rate that convinced them to move forward in the first place.

We're not there yet, but this is something that people must be vigilant about, that means paying attention to rates on a daily basis, and not simply assuming you're "good to go." Everyone looking to take advantage of this market, from originators to borrowers should be working as hard and as fast as possible to complete the work needed to be done to lock in and fund their new loan.

Remember you ain't got squat until its recorded.