Jun 9 2015 11395 1

Jun 9 2015 11395 1

Are mortgage rates into ‘panic mode’?

NEW YORK – June 9, 2015 – The period where borrowers could lock in a 3.5 percent rate on a 30-year fixed-rate mortgage may have ended. Mortgage rates are showing signs of inching up.

Rates are "definitely in panic mode," Matt Weaver, senior mortgage loan originator with PMAC Lending Services, told CNBC. "A lot of refinance clients are moving to locks immediately because the Fed talk is starting to be an eye opener for everyone."

Weaver says there has been a rush to lock in a rate before they edge higher after mortgage rates, which can fluctuate every day, spiked last Wednesday. Mortgage rates loosely follow the yield on the 10-year Treasury.

"If the Wednesday surge of Treasury yields persists, the impact on mortgage rates is likely to result in a bout of affordability shock to many housing markets across the country," says Len Kiefer, deputy chief economist at Freddie Mac.

The 30-year fixed-rate mortgage is up three-eighths of a percentage point since mid-May, averaging about 4.125 percent.

While three-eighths may not sound like much of an increase, "it's more of what it's going to look like, where we're going. Is it a train that's not stopping?" Weaver says. "When we see an eighth, a quarter, now it's starting to become typical language. We would normally see a little bit of a pullback, and then it goes up again, and now that's not happening. We're slowly steadily increasing."

Source: "Mortgage Rates: 'Definitely in Panic Mode,'" CNBC (June 4, 2015)

© Copyright 2015 INFORMATION, INC. Bethesda, MD (301) 215-4688


Paul and Anne Reeves Headshot
Author:
Phone: 386-931-7329
Dated: June 9th 2015
Views: 1,670
About Paul and Anne: ...

Property Search








RSS Feed

View our latest blog posts in your RSS reader. Click here to access. RSS

Search Blog

Recent Blogs

How Do You Start Your Home Search - When you search for a home with
Jul 20 2016 11395 1 - The cost of home renting vs.
Jul 15 2016 11395 1 - Fla.’s foreclosure rate,
Jul 11 2016 11395 1 - Average 30-year mortgage rate

Saved Properties

This is a list of your favorite properties. We will email you if a property is reduced or leaves the market.

Click 'Save' to add a property to this list.

Register / Login

New & returning visitors please enter your information to login.

By clicking 'register' you are agreeing to our terms of use & giving us expressed written consent to contact you.

Questions? Comments? Complaints?

This message will go directly to the head of our team.

Location & Address

eXp Realty Flagler County

Crystal River, FL
754-333-5567