Despite earlier market volatility
surrounding the important Employment Situation Report this morning, things have
evened out into the afternoon and Mortgage Rates are essentially unchanged from
yesterday’s levels. Some lenders still
have pricing set slightly worse than yesterday’s while others are slightly
improved. The net effect is someone of a
consolidation around the 4.0% Best-Execution level.
- BESTEXECUTION 30YR FIXED – Centered on 4.0%
- FHA/VA –
3.75, fewer 3.875%
- 15 YEAR FIXED –
- 5 YEAR ARMS – low
3% range, huge variations from lender to lender.
Today’s Guidance: The jobs report is out of the way,
which is a good thing for mortgage rates in the sense that it helps decrease
volatility. But there’s still a few
potential hiccups left in terms of finding out exactly what is going on with
Greece and the Euro zone drama. There’s
a vote scheduled to take place later on parliament’s level of confidence in
George Papandreou’s leadership.
Depending on how that goes, there could be implications as to Greece’s
acceptance of the austerity terms that allow it to receive financial aid and
avoid a more dire version of the default that many already see as having
happened. Phew… That’s a whole lot of nonsense, right? We think so too, but can’t overlook the fact
that our domestic market movements continue to hang on every little headline
that comes out of that situation. As
such, “stuff that happens later today in Europe” could have an impact on Monday’s
rate sheets in the US. With rates at
4.0% today, risks outweigh rewards for now in terms of floating.