Mortgage Lenders Divided on Rates in Second Week of September
Depending on which mortgage lender you’re talking to, rates either rose or dropped going into the second week of September. Various lenders have adopted different pricing strategies following the volatility that the financial markets saw on Friday afternoon; some lenders made the decision to raise rates more aggressively, while others chose to cool off a little. On Monday, we saw a similar thing happen with lenders recalling rate sheets on midday for revisions.
Fortunately, these rate revisions are small enough that the average rate has not changed significantly from Friday. Indeed, it would appear that mortgage rates have been largely stuck to the 2014 floor. Meanwhile, broader bond markets have been weakening to the point that there is some concern regarding short-term losses. Weakness is expected to continue in the short term as the market continues to correct itself, whereas the long-term outlook remains unclear. Committing to locking into a rate today is advisable.
