The stock market had big-gain days this week and a bevy of optimistic news came out of Europe over the past weeks, while Treasury bonds traded lower. Normally these would signal a jump in mortgage rates, but the economic formulas just aren’t working as we might expect. In fact, adjustable-rate mortgage loans hit new lows this week and fixed-rate mortgage loans remained near all-time lows. Freddie Mac’s Primary Mortgage Market Survey shows all of this, but also shows that the number of mortgage applications is tumbling.
Wake Up Homebuyers! Be aware that a lower volume of loan applications can mean a better deal for you the buyer on mortgage fees, etc. which are always negotiable. Historically low rates + negotiable fees = GREAT TIME TO BUY!