Mortgage Rates Steady Despite Market Volatility
Mortgage rates held surprisingly steady today, even though underlying bond markets were in noticeably weaker territory. As bonds weaken, rates normally move higher, but there’s been a bit of a disconnect recently. In light of our discussion last week, perhaps it isn’t so surprising. We had anticipated that mortgage rates would start out with an advantage this week because they didn’t move much lower at the end of last week even though bond markets were stronger. In other words, bond markets are suggesting rates should be right about where they were on Thursday afternoon, and that’s exactly where they are.
Naturally, this means that we no longer have the same sort of implicit advantage we enjoyed on Friday afternoon heading into the weekend. As such, it’s definitely safer to lean back toward locking. The most prevalently-quoted conventional 30yr fixed rate remains 3.625% on top tier scenarios, with a smattering of lenders still down at 3.5%.