If the law of gravity is, "What goes up must come down", then the law of mortgage interest rates has to be, "What comes down must go up". No one can argue that rates have recently been the lowest we've seen for a long, long time. And we knew it wasn't going to last forever, but somehow we got lulled into a false sense of "low rate security". Even though the recent incline has been slight thus far, experts are suspecting rates will continue to rise. But no one is sure how long or how fast they'll go up.
Why the expectation of a rate increase? Because last Thursday was the last day since 2009 the Fed would be buying mortgage backed securities. If this is all "mortgage mumbo jumbo" to you, listen to this brief video from MSS to help you get a better understanding of why mortgage rates are so volatile.
Views and opinions expressed on this site are not necessarily those of WR Starkey Mortgage.
Ruth Vogt, Branch Manager
Colorado LMB #LMB100023827
Thanks for posting this, Ruth, and, I am going to reblog it. I understood about one tenth of it, but I kinda get the idea. Does't look to promising in the long term.
Hi Ruth ~ I watched the video on Jane's reblog. Excellent information. Great video. Nicely put together for a lay person like myself to understand. I watch Bloomberg and sometimes find their analyses go over my head. This video didn't. It broke it down nicely and was very helpful.
Thanks,
Denise
Hi Ruth, What a great video, nicely explained in simple terms. If I were a buyer, I would try to get out there now, rather than wait and see what happens later!
Ruth ~ that is great information. I am not looking forward to the rates going up. We are having enough difficulties currently.
Hi Ruth, this is the news we heard in our office from our in-house mortgage professional. It's easy to understand which is the way it should be. No "fluff!" Thanks for posting this :)
Ruth - I really like your take on the "what goes up..." quote. Thanks for sharing the information.
Jane, thanks so much for the reblog, otherwise I would not have had the opportunity to hear from Denise!
Denise, I'm in the mortgage business and I have to admit most of what "the experts" say goes over my head, too! (I think that's what they want to be honest, that way you don't know if they are right or wrong!) ha!
Mary, especially first time home buyers... the clock is ticking on the HO credit!
Dawn, you are SO right!
Jackie, glad to hear that your in house lender is active in keeping you updates. That's not always the case.
Jill, I'm going to be in your office mid Monday... maybe we can hook up???