Jul 27, 2009
Fixed Home Loan Rates - Interest Rates Moving Up?
Fixed home loan rates are sure to see move up in the next few weeks as the 10 year treasury rate yield has pushed MUCH higher. The 10 year yield has moved from 3.3% to 3.7% while 30 year fixed mortgage rates have moved sideways. It is highly unlikely that this trend will continue. The last time we saw a disconnect from the 10 year yield and mortgage rates, we saw a huge jump in mortgage rates in a very short period of time. There was actually ONE day in which interest rates jumped as much as .75%.
No one knows if this will happen again, but you do not want to be the one waiting around when it does happen. If you have been tempted to refinance or get your first mortgage, now would be the time to take the necessary steps. If you wait a few months or even a few weeks, you might not get that desired low mortgage rate that everyone wants. Go ahead and do your research online, there are plenty of advertisers trying to get your business so give them a call. Most ads lead you to an 800 number that allows you to speak to a representative. Make sure to not believe every little thing the adviser says, but at least use them as a resource.
Do not let mortgage rates get above 6% before you complete your mortgage application. You could lose over $100 a month if this is the case. Make sure to arm yourself with knowledge of the mortgage market before you make one of the biggest financial decisions of your life, but you might want to speed up the process.