Rates kept their slight upward trend last week. We don't expect any improvement this week either. With inflation concerns growing and oil prices skyrocketing, investors will demand more for their money in the near-term, which means higher rates. Don't expect significant relief as summer approaches. Lock in your rate as soon as possible.
March's Durable Goods Orders will be posted early Thursday morning. This report gives us an indication of manufacturing sector strength by tracking orders for big-ticket items at U.S. factories. Current forecasts call for a small increase in orders. A smaller than expected increase could help boost bond prices and cause mortgage rates to drop Thursday morning. However, a stronger than expected reading would indicate that the manufacturing sector is gaining strength quicker than many had thought. This would be negative news and would probably help drive mortgage rates higher.
Overall, look for Thursday to be the most important day of the week with the Durable Goods report being posted and the Treasury auction. The rest of the week will likely be heavily influenced by the stock markets. If the major stock indexes continue to rally, bonds will likely suffer and mortgage rates will move higher.
If you have an adjustable rate or need to get cash out of your home, don't wait for rates to go up even more.
- If you have found the right home to buy, secure your financing today.
Visit me online so you can search current mortgage rates. And, as always, you can call me at (508) 471-4144 with any questions about mortgage rates and to discuss your best loan options.
East Bridgewater, MA 02333
Lew Corcoran, ASP®, IAHSP, IAHSP-CB