Interest Rates Jump to 4 Week Highs
Interest rates jumped last week for only the second time in seven weeks and it was a significant move. In fact we have to go all the way back to February 13th to find a larger one week jump in rates. No doubt there is continued uncertainty in the equity markets around the world and while the Fed tries their best to keep rates down we can expect that volatility will hang around.
As of this morning, the average overnight rate for a fixed 30 year mortgage as reported by Bankrate.com was at 4.17% up 13 basis points from where we stood one week ago. The benchmark 15 year fixed rate standard was at 3.47% up 9 basis points from last weeks level of 3.38% while the benchmark 5/1 adjustable rate mortgage also moved higher by 4 basis points to 3.06% from 3.02%. While nobody can sat the lowest rates are behind us they did seem to bounce off the 4.0% support level so we will have to see what the future brings.
With the Fed investing in longer term Treasuries rates continue to be under pressure but many potential buyers are still on the sidelines evidently not impressed by the lowest rates they have ever seen, and probably ever will see again. But can they go lower is the question on many buyers, and those contemplating another re-finance, minds. I quit guessing where rates might head from here and so far this deflationary mood is working but would likely vote to act here. I have heard 3.25% rates projected but would be very surprised to see that. Shocked no, very surprised yes. Either way you know we will be here to keep you up to date with the latest news affecting your south Florida real estate.
“Results Driven Real Estate” is dedicated to providing our readers the most timely information and analysis of the metrics affecting the real estate market. It is this passion for our business and our customers that makes dealing with us different; we care not about closing the deal but ensuring we are helping each client make the right decision based on their individual circumstances. Again, if you are going to borrow money to purchase your home NOW is the time and I beg you not too wait too long. If we can be of help in any way just give Tom a call at 561 308-0175 or send an e-mail to firstname.lastname@example.org and we are most happy to serve you in any way that we can.
Always at Your Service,
Tom Priester e-PRO
“Results Driven Real Estate”
Keller Williams Realty