Janet Yellen, the Chair of the Federal Reserve, gave a speech on Tuesday that sent stocks higher and the yield on bonds lower. The gist of Ms. Yellen’s speech was that the economy is showing signs of weakness and thus the Fed would not be raising its interest rates any time soon. As usual, mortgage interest rates dipped in concert with the dip in the yield on the 10 year T-Note. With signs of a possible new recession mounting, the Fed won’t want to do anything to make economic conditions worse in the short run. That is a good sign for folks looking to refinance or to purchase a home. Contact us today to get more information on available mortgage programs while rates are still near historical lows.
Archive for March, 2016...Filed under Government Mortgage Financing Programs News
Filed under Government Mortgage Financing Programs News
Mortgage interest rates began falling in January and hit a low point in mid February. The dip in mortgage interest rate coincides with the recent dip in stock prices. As investors have fled stocks to the relative safety of U.S. Treasury bonds, the yield on those bonds have dropped and as usual, mortgage interest rates have dropped as well. While there has been a small recovery in bond yields over the last few weeks, mortgage interest rates remain extraordinarily low. If you have been considering refinancing a mortgage or purchasing a home, now is an excellent time to start. Contact us today to be pointed in the right direction.