Friday, May 31, 2019

"Mortgage Rates Drop Well Into the High 3's"

by Calculated Risk on 5/31/2019 06:50:00 PM

From Matthew Graham at Mortgage News Daily: Mortgage Rates Drop Well Into the High 3's

Mortgage rates were decisively lower today, following a massive market movement on news of new tariffs to be imposed on Mexico. In general, trade wars are economically negative. They hurt stocks and help bonds. When bonds are improving, it means bond prices are rising and yields (another word for "rates") are falling.

The average lender improved by the biggest amount of the past several weeks with top tier scenarios now easily seeing quotes of 3.875%. [30YR FIXED - 3.875% - 4.0%]
CR Note: The decline in mortgage rates - from around 5% late last year, to under 4% now - is a positive for new home sales.