December 28th, 2013 2:02 PM by Jackie A. Graves, President
Mortgage rates recovered modestly in most cases, falling just below the highest levels in more than 3 months. As has been the case for the entire week, the bond markets that underlie mortgage rate movement were exceptionally quiet. There haven't been any significant developments for them to react to, and market participation is too low to muster much of a reaction anyway.
As such, we've simply been drifting in the direction of the last hard push back in early November. Unfortunately that "push" was in a moderately higher direction. The pace has been fairly gentle compared to what we endured this summer, but even though the interest rates being quoted aren't rising as quickly, the closing costs associated with those rates have been drifting higher and higher.
In this way, 4.625% can remain as today's most prevalently quoted rate for ideal, conforming 30yr Fixed loans (best-execution), but with higher closing costs than last week. 4.75% is not far from taking over.
Loan Originator Perspectives
"More stagnation today as borrowers, lenders, and bond traders continue their holidays. Once again the 10 year treasury yield (which indirectly influences mortgage rates) touched 3%. Doubtful there will be any meaningful improvement in rates until economic data slows or US fiscal/world drama reappears." -Ted Rood, Senior Originator, Wintrust Mortgage
Today's Best-Execution Rates
Ongoing Lock/Float Considerations