Mortgage Rates

Mortgage Rates were steady to slightly lower today, though they remain elevated on the week. Most lenders are effectively unchanged compared to yesterday's latest rate sheets, but some are offering moderately lower closing costs for the same interest rates. The most prevalently quoted conforming 30yr fixed rate for ideal scenarios remains at 4.375%, with some lenders closer to 4.5%.

It was a quiet day for financial markets, offering little motivation to the Mortgage-Backed-Securities (MBS) that most directly affect mortgage rates. Most of the week's volatility was seen on Wednesday, heading into and out of the FOMC Minutes. Yesterday and today have played the role of the epilogue, offering some consolidation and closure to the main storyline that played out on Wednesday.

Next week, then, is something of an interlude as it's not likely to see any excessive movement ahead of the extended weekend. After that, the first week of December will be massively important for the interest rate outlook as there's plenty of economic data right from the outset and the biggest data of all with Friday's Employment Situation Report. The tenor of that jobs report may well inform the Fed's decision to taper or not to taper 2 weeks later. Most market participants will draw their conclusion at the time of the jobs data, however, so the movement in rates could be extreme.

If you need any assistance on the financing of your home, give me a call at 314-744-7806 or visit my website by clicking on the link below:

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