Mortgage Rates "Pushing into Post-Brexit Highs" - InvestingChannel

Mortgage Rates “Pushing into Post-Brexit Highs”

From Matthew Graham at Mortgage News Daily: Mortgage Rates Still Pushing Into Post-Brexit Highs

Mortgage Rates were only slightly higher today, and in some cases were right in line with yesterday’s. In fact, if you caught a lenders’ rate sheet earlier this morning, chances are it was in better shape than yesterday. That stood to reason, considering bond markets (which drive mortgage rates) were also in slightly better shape to start. But bonds tanked in the afternoon (meaning prices fell, and yields rose), thus implying higher rates.

When bond markets move enough during the day, lenders often ‘reprice’ and send out updated rate sheets. That was indeed the case today, but the changes didn’t leave us in significantly worse shape than yesterday. That’s the positive way to look at it. The negative way is to observe that rates moved just a little bit more into the highest levels in more than 2 months (before Brexit).

During the best moments of the range over that time, conventional 30yr fixed rates on top tier scenarios have been as low as 3.25%. The most prevalent rate was 3.375%. While that’s still available today for a few of the most aggressive lenders, you’re more likely to see 3.5%-3.625%. Bottom line, the past few business days have solidified a shift higher of roughly an eighth of a percentage point.
emphasis added

Here is a table from Mortgage News Daily:


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