Mortgage Interest Rates December 29 – Interest Rates Up Huge Today
Posted on | December 29, 2009 | No Comments
Mortgage interest rates for December 29th, 2009 are up huge today! The 30 year fixed rate mortgage is up to 5.35% while the 15 year fixed rate mortgage is up to 4.48%. The 5/1 ARM is going along with the trend and is up to 4.1%. Mortgage interest rates have shot much higher mostly due to the strong move higher in the 10 year yield. For the past two weeks, we at Subprime Blogger have been mentioning that the 10 year yield has been in a strong up trend.
Since the beginning of December the 10 year treasury rate yield has move from 3.2% all the way up to 3.85%. We thought there was a possibility of a cooling off period this week because of the strong run but a chief economist from Morgan Stanley predicted that the 10 year yield is likely to move up 40% to 5.5%. If this were to happen the 30 year fixed rate mortgage would be somewhere around 7.5% or 8%.
If it is the case that the 10 year yield does move this high many home owners are going to be left standing when it comes to refinancing. If you have been waiting in an attempt to time the bottom of mortgage rates then you may be about a month too late. At the end of November the 30 year fixed rate mortgage was at 4.5% but we could see 5.5% before 2010 with the strong move higher in the 10 year yield.
Make sure to check out Subprime Blogger on a daily basis for your mortgage interest rates. We will display the current rates as well as a short commentary similar to the above column. Bookmark the following daily mortgage rates category to gain easier access to our mortgage interest rates column:
Author: Jesse Wojdylo
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