Current Pricing of FNMA 30 Year 4.5% Bond: $100.50
-9 bps (Prior Close – $100.59)
Market Update: Mortgage Backed Security (MBS) pricing is lower today, as Bonds continue to follow through from Friday's weakness. The Fed’s $300 Billion Treasury buyback program comes to an end this Thursday. Without the Fed buying Treasuries, which provides demand for the massive supply hitting the market, rates will continue to move higher. This also causes home mortgage interest rates to move higher, as investors will demand a higher return for added risk to their investment dollar.
Economic News: There are no economic reports due to be released today, but later this week we'll have reports on housing, consumer confidence, economic growth, inflation and the job market. In addition, this will be another week of massive Treasury auctions.
Recommendation: LOCK
For information on home loan refinancing or purchasing your home contact The Krushinsky Team at 602-695-7575 or email david.krushinsky@wjbradley.com.
When getting a new mortgage on your home, it's critical to consider when to float or lock your interest rate. Our recommendation doesn't apply to all scenarios, so if you have questions about your home loan, please contact us directly.
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