Mortgage Rates remained under pressure at the end of last week, moving right back to the highest levels in more than 4 months after only one day of recovery. This might not have been readily apparent on most of the day’s rate quotes because things didn’t deteriorate meaningfully until late in the afternoon last Friday.
In fact, for several lenders, it was too late in the day to issue a reprice (i.e. a new rate sheet on any given day, typically prompted by big moves in bond markets). When that happens, those lenders simply adjust for the market movement on Monday morning.
In quantitative terms, even after lenders made their adjustments, rates aren’t too much higher than they were on Wednesday.
Conventional 30yr fixed quotes are still going out around 3.625% on top tier scenarios. The only changes would be seen in the form of slightly higher upfront costs.
The problem is that any incremental weakness means we’re simply pushing deeper into 4-month highs. These sorts of clearly-defined uptrends provide higher-than-normal motivation to favor locking vs floating. Indeed, the reward for successfully timing a lock is quite low at the moment. Lenders won’t be quick to improve their pricing until they see a more sustained bounce back toward lower rates in the bond market.
Some of the latest, local mortgage rates according to Bankrate.com are:
|Wilson Bank & Trust||3.770%|
|Fifth Third Bank||3.649%|
|First South Bank||3.643%|
* The above mortgage loan information is provided to, or obtained by, Bankrate. The rate is based on 30 year fixed rate mortgage and a loan of $300,000. Rates change often an your personal rate may differ from the above number based on your qualifications. To see more rates from Bankrate, click here.
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