Jun 13, 2009
Daily Mortgage Rates Affected By the Government
AUTHOR: Colin Keller
Daily mortgage rates have been very volatile over the last three weeks. At the end of May, there were several days in which mortgage rates moved almost .5% in ONE day. This is almost unheard of, but this is what happens when the government puts their hand in pot. For the last two months, the Federal Reserve Bank has been buying up mortgage backed securities which pushed mortgage rates lower. Had the government let free markets work, it is likely that mortgage rates would be a little bit higher but they would not be acting the way they have been for the last three weeks.
Do you think that President Obama and Ben Bernanke should continue to force mortgage rates lower? Would it be better if they just let free markets work which would create the correct level for interest rates?
On april 9th obama recommended that people with good credit should refinance to take advantage of the lower rates to offset lower prices..I have been working with brokers since then.. However, the mortage market has been so clogged that I seem to have missed the lower rates due the detailed information the banks reguire…I have payed 350 for an independant appraisal and have lowered the value of the house from 435 to399 to350 for mortage prepurchases. I beleive that those of us who have done due diligence should get the rates that were available when the process started. my credit score received to day is 790 791 790..The statement says I am in the 98% bracket. Please help the middle class that Prsident Obama said he would help on 4/09/09.