What May Impact Mortgage Rates this Week: February 9, 2015.

mortgageporter-economyThis week’s economic calendar appears to be sparse. Watch for mortgage rates to take direction from the stock market. Often, mortgage rates will react opposite to the stock market as rates are based on mortgage backed securities (bonds). When stocks are having a stellar day, traders will often pull bonds (like mortgage backed securities) to invest in stocks. And when the Dow is dropping, we tend to see mortgage rates improve as investors will seek the safety of bonds.

Last Friday’s Jobs Report was much stronger than anticipated, causing mortgage backed securities to tank and mortgage rates to trend higher. This morning, mortgage rates are improving from Friday.

Here are some of the economic indicators scheduled to be released this week:

  • Thursday, February 12: Initial Jobless Claims and Retail  Sales
  • Friday, February 13: Consumer Sentiment (UoM)

Mortgage rates are higher compared to last Monday’s mortgage rate post. As I write this post, Monday, February 9, 2015 at 7:49 am, I am quoting:

30 year fixed: 3.625% (apr 3.772%) priced with 1.200 points with  a principal and interest (p&i) payment (taxes and insurance not included) of $1,825. This is 1.271 higher in fee/points compared to last Monday’s rate post. 

30 year fixed: 3.750% (apr 3.832%) priced with 0.397 points with p&i of $1,853.

20 year fixed: 3.500% (apr 3.701%) priced with 1.169 points with p&i of $2,320.

20 year fixed: 3.625% (apr 3.736%) priced with 0.379 points with p&i of $2,346.

15 year fixed: 2.875% (apr 3.132%) priced with 1.202 points with p&i of $2,739.

15 year fixed: 3.000% (apr 3.136%) priced with 0.370 points with p&i of $2,763.

Rates quoted above are based on a purchase in the greater Seattle – King County area with a sales price of $500,000, 20% down payment and a loan amount of $400,000. The home buyers have excellent credit with credit scores of 740 or higher and the transaction is closing by March 19, 2015 or sooner.

Rates quoted are subject to credit approval and may change at any time. This is just a small sample of the mortgage rates and programs that I have available. If you would like me to provide you with a mortgage rate quote for your home purchase or refinance on your home located anywhere in Washington state, please click here.


  1. […] 7:23 am update: The DOW is down 62 at 17,984 and for a 30 year fixed conventional, I am quoting 3.875% (apr 3.997%) priced with 0.869 points. This is about full point in fee or 0.25% higher in interest rate than what I was quoting just over a… […]

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