Mortgage Rates Mostly Steady Today, But There's a Catch

Mortgage rates were roughly unchanged today.  That would make this the 4th day in a row without any move higher in rates, and it would leave us at the lowest levels in roughly 2 weeks. 
But there’s a catch.
The catch has to do with the way that mortgage lenders change their rate sheets based on movement in underlying bond markets.  Bond trading levels have a direct bearing on mortgage rates, but lenders can’t very well change rates every few seconds when a new trade flashes in bonds.  Rather, lenders have certain thresholds of strength or weakness in mind.  As soon as bonds cross one of those thresholds, lenders will begin “repricing” for the better or worse….(read more)Forward this article via email:  Send a copy of this story to someone you know that may want to read it.
Source: mortgagenewsdaily.comNew feed