Mortgage rates are still marching higher this morning. As I’ve mentioned many times over the past couple years, mortgage rates rise much quicker than they come down, as we are experiencing that right now. As I begin to write this post on 7:00 am on June 24, 2013, the DOW is down 243. MBS are down over 100 bps as investors continue to sell mortgage backed securities as the end of the Fed’s manipulation of mortgage draws near.
Here are some of the scheduled economic indicators to be released this week:
Tuesday, June 25: Durable Goods Orders; S&P Case-Shiller Home Price Index; Consumer Confidence; New Home Sales
Wednesday, June 26: Gross Domestic Product (GDP); GDP Chain Deflator
Thursday, June 27: Personal Consumption Expenditures (PCE); Core PCE; Personal Income; Personal Spending; Initial Jobless Claims; Pending Home Sales
Friday, June 28: Chicago PMI; Consumer Sentiment Index (UoM)
I’m checking pricing for mortgage rates and we have long since left the 3’s for 30 year fixed… looks like if rates stay on this pace, it won’t be long before we are back to rates in the 5% range. Which historically speaking is still low…however, it doesn’t feel so low to those who have become accustomed to the artificially low rates we’ve enjoyed the past couple years.
As of 7:30 am, for a 30 year fixed rate based on a loan amount of $400,000 and an 80% loan to value with a 740 minimum credit score, I’m quoting (ready for this??):
- 4.750% priced with 0.064% discount, essentially at “par” or as close to zero points and zero rebate as I can get with the lenders we work with (apr 4.830).
- 4.625% is currently priced with 1.090% discount points (apr 4.921%).
Remember, mortgage rates change constantly, often several times a day – especially with how volatile the markets have been. If you would like a mortgage rate quote based on current pricing and your personal scenario for a home located anywhere in Washington state, where I’m licensed, click here.
UPDATE 8:30 am: Check out the MBS chart from this week’s issue of Mortgage Market Guide Weekly to see how dramatically rates have recently gone up.