Mortgage Rate Volatility
- By:
- Bill Rice | Fri, 09/19/2008
Expect significant mortgage rate volatility over the next few weeks as markets adjust to the new Treasury plans to deal with illiquid mortgage assets.
Short-term we are likely to see rates rise as cash flows out of bonds and into an exuberant equities market. However, Paulson has announced significant buying of MBS by Fannie, Freddie, and Treasury for the purpose of keeping mortgage rates low.
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National Rates
| Loan Type | Today |
|---|---|
| 30 yr fixed | 4.83 |
| 15 yr fixed | 4.39 |
| 5/1 ARM | 3.69 |
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