The Rate Game: Mastering The Fine Art
Greetings All New Yorkers Looking To Further Educate Yourselves on Masetring All Aspects of NYC Real Estate!
This is my very first post and I look forward to keeping our readers posted on topics that involve mortgage financing. Invariably, when I am on the phone with a client, the question most asked is
"where do you think rates are going?"
I LOVE that question for one reason: the only answer is "I don't know". After 7 years in this business, I truly believe it is the only honest answer. There are many factors that affect the direction that mortgage rates move. Perhaps the most influential, in a rather direct relationship, is the yield on the 10 year Treasury bond.
Its important to nore that:
As the 10YR Treasury Bond Yield moves up day to day, mortgages rates follow, moving up
Other factors influence the activity in this bond market and are so varied I'll pass on listing them all. So, the long of short of it is no one can really predict. However, the general consesus is that we are moving into a rising interest rate market. Case in point, over the last 2 weeks 30 year fixed rate jumbo mortgages have risen from 6% to 6.25% today, 10/13/2005. Again, the "feeling in the industry" is that they will continue to do so.
If you'd like to track rates, please log onto WellsFrago.com and go to the mortgage section, click on "today's rates" and you can sign up for email notification of rate movement. If you'd like to play with some numbers while you are looking for your apartment to see if you can afford it, visit My Personal Website at and you'll find tools to help you along.
In the mean time, feel free to contact me directly at any time with any questions. I'm here to help!
Michael
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