The Federal Reserve’s announcement last week was the latest major shake-up for mortgage ratesby sending them quickly higher on Wednesday afternoon. Since then everything has been is gradually improvingeven if a little uneven.
Mortgage lenders were hoping for a little more stability, and today they received it. Bonds, which underpin mortgage rates, had the most stable day since the Fed meeting, and they also managed to do so by trading at or near their best levels over the same time period. The result is the lowest mortgage rates since Wednesday morning for the average lender.
All that was said, today’s movement was small compared to last Wednesday. It took a string of small wins to equal HALF damage done on Wednesday afternoon. In other words, we may be at the best levels in a week, but we are only halfway back to pre-Fed rates.
For the typical 30-year high-tier fixed scenarios, purchase loans are quoted in a range of about 3.0% and are refinanced eight to a quarter points higher.