Economic Conversation

Bank of America refinance mortgage rates are sure to head up in the near future as interest rates are going to rise the with 10 year treasury rate yield.  The 10 year yield is sitting right at 3.7% which should put mortgage rates over 5.6%.  It will be interesting to see if this is the case as mortgage rates have greatly lagged the 10 year yield over the last few weeks.  The unfortunate part of this is that mortgage rates will eventually catch back up as there is a 30 year correlation between the 30 year fixed rate mortgage and the 10 year treasury rate yield.

When mortgage rates do catch up to the uptrending 10 year yield it is going to get ugly for those who wanted to refinance at a lower rate.  Many home owners were waiting for Bank of America refinance mortgage rates to fall back towards 5% but this is very unlikely to happen now.  The Federal Reserve Bank has done everything in their power to push mortgage rates lower but it looks as if their tactics are not going to work this time.

If you were considering refinancing your home, I would suggest getting your application in to Bank of America immediately as you have no idea when that dreaded one day move is going to happen.  It could be today or tomorrow so do your best to avoid that and lock in at a reasonable rate under 5%.  Please educate yourself on the subject before making any major decisions as your mortgage is the biggest financial commitment in your life.