Mortgage Rate Forecast for Sandwich MA for March 22, 2010
Here are some of the events affecting mortgage rates today in Sandwich, MA:
What Mortgage Backed Securities Are Doing Today:
- The price of the FNMA 30-Year 4.5% MBS coupon opened at 100.84 this morning - the same as Friday's close.
- At 9:30 AM, the 4.5% MBS coupon was trading at 100.84 - the same as its opening.
Price Trend in Mortgage Backed Securities:
The chart below shows the price trend of the FNMA 30-Year 4.5% coupon over the past 30 days from 2-20-2010 to 3-22-2010:
Remember, on mortgage backed securities (MBSs), as the price goes down, the yield goes up - and so do mortgage rates. I expect that mortgage rates will be up to 0.250 points worse in price this morning as compared to yesterday.
Economic Reports, News, and Events Affecting Mortgage Interest Rates in Sandwich, MA Today:
- There are no economic reports scheduled for release today.
What's Happening With Mortgage Interest Rates in Sandwich, MA Today:
Moderate to High Volatility. Mortgage rates are off their historic lows. However, for the most part, they are still low and holding fairly steady right now. It appears that the overall economy is improving. As such, there's very little potential for lower mortgage rates.
In addition, the Fed is winding down their purchases of mortgage backed securities which is slated to end on March 31st. When that happens, pundits are expecting mortgage rates to get worse by 0.25% - 0.75% in rate. This means that a 30 year fixed rate today of 5.0% with no points could soon be between 5.25% and 6.00%. For a $200,000 mortgage, every 1/4 point increase in rate means an increase of $30 in monthly payment.
If you have not yet locked in your mortgage rate yet, please proceed with caution and maintain contact with your mortgage professional as mortgage rates can change for the worse - often without notice.
If you're happy with the interest rate being offered to you today and if you don't want to risk mortgage rates moving higher, then you should apply and lock in now. It's better to have locked when you should have floated than it is to float when you should have locked.
Get current mortgage rates for Sandwich, MA.
East Bridgewater, MA 02333
Lew Corcoran, ASP®, IAHSP, IAHSP-CB