What a difference a week makes! Rates dropped significantly last week and once again today. Last week we moved from 2.99% to 3.125%, this week we are back to 2.99%. Not only have interest rates reversed to 2.99% but origination fees are also lower.
The financial markets are showing concern about a “2nd wave” of COVID as cases in the US are spiking again. Stocks sold off Thursday, rebounded Friday and were down again today.
The good news for the real-estate market is that 10-yr Treasury continues to decline along with the 30-yr mortgage interest rate(mostly). I have attached an image of the last year illustrating the 10-yr treasury vs the 30-yr mortgage interest rates. Historically, the two have moved in tandem. You will see a deflection in that historical pattern in 2020-03 (March 2020) on the graph. The historical pattern is beginning to return to normal but has not fully re-established itself like prior to COVID. This phenomenon is directly caused by COVID and the uncertainty it has caused. The two returning to historical norms signals more predictability in the financial markets. Both the 10-yr and the 30-yr interest rate are at or below historical lows.
Random stat: Did you know the average age of a first-time homebuyer is 33 years-old in the US?
Comments (15)
-
Pretty! This has been an extremely wonderful article. Many thanks for supplying this info. Rubina Carlie Rozanna
-
“wow, awesome post.Thanks Again. Much obliged.” Long Stanifer
-
Hey just wanted to give you a quick heads up. The words in your article seem to be running off the screen in Firefox. I’m not sure if this is a formatting issue or something to do with web browser compatibility but I thought I’d post to let you know. The style and design look great though! Hope you get the issue fixed soon. Many thanks Samella Spurling
-
Very informative blog article.Much thanks again. Fantastic.
-
I think it is a fluent sharing, I will recommend your site to my friends
-
I randomly stopped by your site but you are really successful
-
I read a great article with pleasure, I hope it will continue
-
I like a very useful article, I like our page and follow it
-
I feel very lucky to follow your page
-
I really like the design and contents of your web page
-
I randomly stopped by your site but you are really successful
-
I really like the design and contents of your web page
-
I enjoyed reading a very successful article
-
Simply just want to stress I am just thrilled that i stumbled upon your internet page! Nanice Trueman Walcott
-
Hello there. I discovered your web site via Google while searching for a similar subject, your web site came up. It looks good. I have bookmarked it in my google bookmarks to visit then. Angeline Tracey Roldan
