FHA Home Loan Rates January 28 – Mortgage Rates Move Up Today
Posted on | January 28, 2010 | No Comments
FHA home loan rates for January 28th, 2010 have moved up today as the 10 year treasury rate yield is bouncing off its 50 day moving average. At the present time the conventional 30 year fixed mortgage rate is at 4.87% while the conventional 15 year fixed mortgage rate is at 4.26%. The conventional 5/1 ARM is also up to 3.85%. We at Subprime Blogger predicted that the bounce off the 50 day moving average would push mortgage rates higher and that is exactly what has happened.
The 10 year treasury rate yield and the 30 year fixed rate mortgage have had a very strong correlation since 1971. Expect that correlation to get even stronger in the coming months as the Federal Reserve Bank is going to stop purchasing mortgage backed securities. There is little doubt that the 10 year yield is in an uptrend which is likely to push mortgage rates above 5% and possibly much higher.
We might have seen the low point for mortgage rates in 2010 if the 10 year yield starts a strong uptrend. Over the last few days we saw the 10 year yield as low as 4.79% but those opportunities might disappear if the strength in the 10 year yield continues. It might be wise to take action today if you are looking to lock in to a low mortgage rate.
Make sure to check out Subprime Blogger on a daily basis for your FHA loan rates. We will display the current FHA loan rates as well as a short commentary similar to the above column. Bookmark the following FHA Loan Rates category to gain easier access to our daily FHA rates column:
Author: Jeremy North
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