Mortgage Rates June 29, 2017

Mortgage rates for June 29, 2017 are starting off the day slightly worse as the bond market resumes it’s sell off from a a few days ago.  The 10y is just above the recent range and started the day at the 2.27% level however the long term downtrend is still intact.  The Fannie Mae 3.50% coupon opened at the 102.80.  As mentioned in previous posts; mortgage interest ratewe’re keep an eye on moves above the 2.24% level.  Generally speaking 30 year fixed mortgage rates remain below 4.00% and 15 year fixed mortgage rates remain below 3.25% (conforming loans).  The best mortgage lenders for refinancing and purchase transactions anticipated a move higher in bonds after hitting 8 month lows.

What triggered the selling in bonds and why hasn’t it stopped? Europe is the main reason; also the markets have a short day on Monday and are closed on Tuesday.  Europe is clearly the bigger cause as comments from Mario Draghi about the European economy have caused concern for bond holders.  In Germany their 10y government bond went from 0.24% to 0.44% in three days and that significant selloff is spilling into our markets.  And with the short trading day next week along with being closed on Tuesday traders are eyeing a cautious stance for what will be a four day weekend for many bond traders.  So for many traders they are setting up a defensive/cautious position in bonds and will look to next week for overall long term direction.

This morning we had the GDP, Initial Jobless Claims and Continued Unemployment Claims readings and all came in around expectations.  Tomorrow we have Consumption, Core PCE and the Chicago PMI before we head into the weekend.  On a side note; getting a mortgage for people with less than perfect will be a bit easier next week as the three credit bureaus will implement new verification standards for civil judgments and liens.

If you are considering a refinance of your current mortgage or are looking to purchase a new home please give a call on our direct number: 1-800-550-5538.  We offer a no cost – no obligation quote, industry low mortgage rates and top notch customer service.  We also have a top rating with the Better Business Bureau and the Business Consumers Alliance.