Mortgage backed securities are in the red this morning. Although rates are still very low, those who have not locked in their mortgage rates may be surprised to see the rate or cost for the rate is now higher. As the economy continues to show signs of improvement, investors will trade the safety of bonds (like mortgage backed securities) for stocks.
As of 8:30 am this morning, 3.625% is priced near “par” (with as little rebate credit or discount points) for a 30 year fixed rate-term refinance (apr 3.690). As you can see, mortgage rates are still very low however, they have been slowly trending higher. Rates change constantly and there are at least 10 factors that impact the pricing of mortgage rates. For your personal mortgage rate quote for your refi or home purchase anywhere in Washington state, click here.
This week is loaded with the FOMC rate decision on Wednesday and Friday’s Jobs Report. Here are some of the scheduled economic indicators and events that may impact mortgage rates this week.
Monday, January 28: Durable Goods Orders and Pending Home Sales
Tuesday, January 29: S&P Case Shiller Home Price Index and Consumer Confidence
Wednesday, January 30: GDP Chain Deflator, ADP National Employment Report, Gross Domestic Product (GDP) and FOMC Meeting
Thursday, January 31: Employment Cost Index (ECI), Personal Consumption Expenditures (PCE), Initial Jobless Claims and Chicago PMI
Friday, February 1: THE JOBS REPORT, ISM Services Index and Consumer Sentiment (UoM)
If your home is located anywhere in Washington state, where I’m licensed to originate, I’m happy to help you with your mortgage.