Mortgage interest rates have been pushing higher with the Fed pulling out of buying mortgage-backed securities and inflation. Check out Freddie Mac’s latest Prime Mortgage Market Survey that was published this morning.
From the PMMS:
“Mortgage rates rose across all mortgage loan types, with the 30-year fixed-rate mortgage increasing by almost a quarter of a percent from last week,” said Sam Khater, Freddie Mac’s Chief Economist. “This was driven by the prospect of a faster than expected tightening of monetary policy in response to continued inflation exacerbated by uncertainty in labor and supply chains. The rise in mortgage rates so far this year has not yet affected purchase demand, but given the fast pace of home price growth, it will likely dampen demand in the near future.”
Mortgage rates are still historically low… just not as “artificially sweet” as they have been due to the Fed’s support. If we continue to see signs of inflation, mortgage rates will most likely continue to trend higher.
If you are preapproved for a mortgage to buy a home, you may want to contact your mortgage professional to get an updated scenario with current rates. If you have been considering refinancing, you may want to make that move sooner than later. If your home is located anywhere in Washington state, where I’m licensed, I am happy to help you with your mortgage needs! Click here for a no-hassle mortgage rate quote.
It’s been a while since I’ve done a live post. I think today calls for a live post since the FOMC is meeting and it’s highly anticipated they will decide to increase rates. Mortgage rates have been steadily climbing since mid-November following the elections. There are several factors that are influencing the upward move in rates, including what appears to be a better economy along with signs of inflation. 
The Prime Mortgage Market Survey reports that last week, the 30 year fixed averaged 3.92 percent with an average 0.6 point. The week prior, the reported average was 3.97 percent. A drop in rate of 0.05%.
Welcome to my first post of 2016! I hope you and yours had a wonderful New Year holiday.
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