RollerCoaster Day for Colorado Home Mortgage Rates
A real rollercoaster ride was experienced in the market today. Colorado Home Mortgage rates started the day off great, coming in line with our Lock recommendations set earlier in the week. 1st thing in the Morning, I went into our pipeline and focused on locking loans for clients looking to close over the next week or So. We saw a lot of things impact the market, but you can read about that at www.coloradomortgagebanking.com/news. Right now we are maintaining a FLOAT recommendation and we expect rates to fall tomorrow as unemployment is announced. All of the Job indicators over the last three weeks show that the unemployment rate should come in high. This higher unemployment rate will cause mortgage backed securities to gain momentum in its pricing sometime tomorrow. In return this should send Colorado Home Mortgage rates back down. We are hoping to get the same rates we saw earlier today. The Mortgage Backed Securities did finish the day better then where the market closed yesterday. This tells me that rates should have been slightly better today then yesterday, but this is not the case. Instead the rates today finished worse then yesterday meaning that the bank currently holds the rate at a price point that indicates extreme caution. We believe this took place to protect the investor from any market risk experienced earlier in the day. Basically they are gun shy from having to display any rates that might produce less the favorable profitability positions in the event of a major sell off which investors witnessed today. This will be adjusted tomorrow and Colorado Home Mortgage Rates will open the market better tomorrow making it a must float situation ending today. Stay tuned and call me with any Colorado Home Mortgage questions you might have.
Tags: Colorado Home Mortgage, Home Mortgage, Rates
