There was a good article over at the Boston Herald recently noting that mortgage rates have been moving back up over the last few weeks. There is a decent chance that the botton has passed us already. So if you are thinking about a refinance contact us now before the rates go even further up.
Here are some excerpts from that piece:
Procrastinators beware: Mortgage rates are beginning to rebound from record lows as the U.S. economy shows more and more signs of stabilizing.
“Rates are still low, but they’ve moved up from the super-low point they hit a few weeks back,†said Greg McBride of market-tracker Bankrate.com. …
Rates began moving upward Thursday after federal officials reported a drop in initial jobless claims and announced that most big U.S. banks had passed new government “stress tests.â€
Then, the Labor Department reported Friday that America lost 539,000 non-farm jobs in April – 61,000 less than many analysts had forecast.
The three better-than-expected reports pushed mortgage rates higher as lenders priced in a possible economic recovery that could raise loan demand and increase inflation.
“The economic glass is now being seen as half full instead of half empty,†McBride said.
Although the analyst expects rates to fluctuate in coming months, McBride recommends would-be borrowers not wait to see if interest levels drop back downward.
After all, McBride said today’s rates are still well below the market’s 7.5 percent long-term average.
