Bank of America Home Loans – Mortgage Interest Rates Move Higher into 2010?
Posted on | December 4, 2009 | No Comments
Bank of America home loans are something that many Americans have and could look into. Early in December we saw all time low mortgage interest rates but there is a chance that we could see mortgage rates move higher into 2010. The 10 year treasury rate yield has seen a huge move up this week as it has move above the 200 day moving average and the 50 day moving average; in fact, the 10 year yield moved above both of these moving averages on the same day.
The 10 year treasury rate yield and the 30 year fixed mortgage rate have had a strong correlation since 1971 when Freddie Mac started collecting mortgage rate data. The correlation has not been as strong in 2009 because the Federal Reserve Bank has been buying a huge amount of Mortgage Backed Securities. The purchases of mortgage backed securities has helped to push mortgage rates lower even when the 10 year yield has been in a slight up trend.
If you have been looking to refinance your current Bank of America home loan now might be the best opportunity you have to lock into a rate below 4.75%. Over the last week we have seen the 30 year fixed mortgage rate move from 4.49% all the way up to 4.74%. If you have equity in your home and a good credit score then you are likely to be rewarded with a low refinance mortgage interest rate. The only way you will know what mortgage rate you qualify for is to apply for a refinance.
If the current economy and your financial struggles have gotten you down make sure to check out the inspirational blog My Life After Retail. The blog is an account of the journey to find peace of mind and happiness in today’s society.
Author: Jesse Wojdylo
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