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Jun 02
2009
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The last true ‘Mortgage Update' that I sent was in March, short of a few ‘rate and emergency updates'.........I thought you might appreciate an update on the last few months.
If you recall, that update was to notify you that the Fed had proactively stepped-in and rates had dropped to the 4.625%+- range. We had a decent little stretch, where we remained between 4.625%-5%, but it would appear that we are now back in the 5.5%+ range....and will likely not see sub-5% again, anytime soon. Last Wednesday was a big day and the rates jumped upward of ½%, in a matter of hours. Thursday was not much better....Friday helped recover some of the losses....and, so far this week we are seeing another upward trend. The reality is that 5.5%+- is a great rate.....no question about it...., but those of you that may have been looking for the elusive 4%, that the administration dangled, may need to re-evaluate your situation. Now that true volatility has crept into the daily routine again, I'm skeptical on making any predictions about what the rates may do. I think a ‘better safe, than sorry' approach is warranted.