Poised for Another Run
Posted On: June 25th, 2009 by James Posted In: Mortgage Rates • Portland Real Estate
“Who let the dogs out?!” That is the song that comes to mind when looking at the bond page today. My sense is that after a few weeks of rates in the mid 5% range, forces are aligning to have us make another run into the high 4% mortgage rate territory again. The bond market positively ENGULFED 100 billion dollars of Treasury Bonds this week, and is now rocketing skyward. And if you’ve been following this blog you’ll know that when the bond market goes UP… Mortgage rates come DOWN.
The only thing that had been holding this back was the 3 separate treasury auctions. Now that they are behind us, I am feeling like this is a recipe for another run at lower rates.
Now I’m no psychic, and anything is possible in these volatile times. A lot of other loan officers in my office think the below 5% interest rate party is over. But my feeling is that when the overall economy is soft, investors need that safe haven of bonds. When that demand for bonds is strong, we will get fantastic interest rates.
This time around, I don’t know how long it will last. We kind of got lulled into a couple months of stability at 4.75%-5% in April and May. The next time I see rates like that I will just LOCK it down.
Please contact me if you would like to get into my Rate tracking system. It is always best to be prepared to act when the pricing becomes favorable. I have many clients who are fully pre-qualified, and have a price that they will act upon. Once that price manifests we jump on it.
503-957-8315
James,
Thanks for consistently helping couples and single parents to find the best rates out there.