30 Year Fixed Mortgage Rates – Refinance Rates Drop to 2010 Lows at 4.8%
Posted on | January 29, 2010 | No Comments
The average for 30 year fixed mortgage rates has been between 4.8% and 5% for the entire month of January. Just recently we have seen refinance rates drop to 2010 lows as the 30 year fixed rate is at 4.8%. When looking at the history of the 30 year fixed mortgage rate you can clearly see that we are very close to all-time lows.
The president and his staff have worked very hard to make sure that mortgage interest rates stay low for an extended period of time. Unfortunately, the Federal Reserve Bank is going to stop purchasing mortgage-backed securities at the end of March of 2010. This is likely to push mortgage rates up .5% to 1%.
If this is the case then you will be accustomed to seeing mortgage rates around 6% after the spring of 2010. Some analysts have predicted that mortgage rates are going to rise as high as 8%. This is very bad news for anybody who is hoping to refinance under 5% and was willing to wait until the spring or summer.
It might be a very good idea to take action sooner rather than later if you are hoping to refinance at a low rate. The longer you wait the more you are risking that mortgage rates could move higher. The 10 year treasury rate yield has been in a steady uptrend since December and this is also likely to push mortgage rates closer to 6%.
Author: Jeremy North
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