Home Mortgage Loan Rates – April Mortgage Rates Could Be Much Higher
Posted on | March 25, 2010 | No Comments
Home mortgage loan rates have been below 5% for the 30 year fixed rate mortgage for the entire year of 2010 but that could be changing at the end of March and beginning of April. At the present time we are seeing the 10 year treasury rate yield break out to the upside and the Fed is going to stop purchasing mortgage backed securities at the end of the month.
At the end of March we are going to see the conclusion of the mortgage backed securities purchase program. Many analysts have predicted that this could push 30 year fixed mortgage rates up by at least one full percentage point. It will be interesting to see what happens in the next two weeks.
Another factor that could push mortgage interest rates higher is the up trending 10 year treasury rate yield. At the present time the 10 year yield has broken through its 50 day moving average and it looks to be trending much higher. If this is the case we can guess that mortgage rates will move up as well.
April will be a very interesting month when it comes to mortgage interest rates. With the Fed concluding their mortgage backed securities purchase program and the 10 year treasury rate yield up trending there is a very good chance that we could see 30 year fixed mortgage rates around 5.5% soon.
Author: Alan Lake
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