Home mortgage rates are opening this holiday week matching the best levels ever. There’s a strong chance rates could go even lower but have you thought about if they went up? Interest rates fluctuate on a daily basis so it’s important that you’re working with a trusted adviser that understands the market and can help you time the swings.
What happened with interest rates last week?
Mortgage backed securities and home loan interest rates traded in a tight range last week without much news hitting the wire. The inflation reports (Core PCE) were within the Fed’s target range for the time being and the Chicago PMI came in just shy of expectations.
Most market movement came as investors followed news out of the Euro Summit, seeking some sort of resolve. Yet again, no clear catalyst has presented itself to move the markets in either direction.
What’s coming up this week on the economic calendar and what’s the impact on interest rates?
The ISM Index was released Monday morning below expectations, helping mortgage backed securities and home interest rates open at record levels. With the markets closed on the 4th, trading should be light going into a Jobs Report that will be released on Friday. If the jobs market continues to show further decline, we could see interest rates break out to new historic lows.
Here’s our strategy for the days and weeks ahead…
With the the holiday shortened trading week, we look for interest rates to hold their current levels going into Friday’s Jobs report. We are advising our clients starting their process to float while mortgage backed securities attempt to set all time lows. While market volume may be slow going into the holiday, we will be monitoring closely as volume and potential volatility come back into play.
We maintain an ongoing dialogue with our clients about the market and interest rates throughout their financing experience so we can take advantage of the lowest rates when they present themselves. We all want the lowest rate, and the best way to ensure that you get the lowest rate, is to build a relationship with your mortgage planner, so they can best advise you on when to lock in your rate. Call us today for a complimentary mortgage review or Apply Online.
+Patrick Glaros empowers people to find their best home loan option. Through planning and education, and a goal-oriented approach, Patrick and the team at Dallas Mortgage Planners have one common goal: Help clients make an informed decision to choose the best home loan for their unique situation. Find other articles written by Patrick.
