Mortgage Rates Hit Another Multi-Month High Despite Afternoon Recovery

Mortgage rates tend to be updated only once per day. Lenders set rates based on trading levels in mortgage-backed securities (MBS) which are essentially bonds that are tied to cash flows from groups of mortgages. MBS move throughout the day much the same way that US Treasuries do. If they move enough, lenders can issue mid-day changes to the rates they published earlier in the day. Today began with Treasury yields in higher territory and MBS in weaker territory. That almost always means that mortgage rates will come out higher than the previous day and indeed they did! The average lender moved up to 7.08% from 7.00% on a top tier 30yr fixed scenario. Bonds improved in the afternoon by enough for lenders to reprice. That brought the average down to 7.03% which is obviously still a bit higher than yesterday's 7.00%. Bottom line, today's rates marketed another multi-month high. Expect volatility potential to remain elevated through the 2nd half of next week at the very least with each day between now and then at risk of fairly substantial movement. The riskiest days are this Friday, next Wednesday, and next Thursday due the jobs report, election, and Fed announcement.

October 29, 2024 Download our Mobile App: Download our Mobile App: Mortgage Rate Watch Mortgage Rates Hit Another Multi-Month High Despite Afternoon Recovery Mortgage rates tend to be updated only once per day. Lenders set rates based on trading levels in mortgage-backed securities (MBS) which are essentially bonds that are tied to cash flows from groups of mortgages. MBS move throughout the d... (read more) MBS Commentary Pushing Back Against Early Weakness After JOLTS Data As we've noted on many occasions in the past few years, JOLTS (the Job Openings and Labor Turnover Survey) used to be a non-event in terms of economic data moving markets. That changed in an obvious way over the past 2 years and there have been... (read more) Rob Chrisman Brokers and Branches Wanted; VOIE, POS, Servicing Tools; Disaster Updates; Fannie/Freddie News Heard in the hallways here at the MBA’s annual convention in December. “I wonder if the MBA’s volume estimate of $2.3 trillion for 2025 includes all of the hard money deals that I’m doing? Me and every broker I know is doing them: why make 1 point wh... (read more) Mortgage Rates 30 Yr. Fixed Rate 7.03% +0.03% Rate Change Points Mortgage News Daily 30 Yr. Fixed 7.03% +0.03 0.00 15 Yr. Fixed 6.49% +0.02 0.00 30 Yr. FHA 6.55% +0.09 0.00 30 Yr. Jumbo 7.15% +0.05 0.00 7/6 SOFR ARM 6.90% +0.09 0.00 30 Yr. VA 6.55% +0.07 0.00 Updates Daily - Last Update: 10/29 15 Yr. Fixed Rate 6.49% +0.02% Rate Change Points Freddie Mac 30 Yr. Fixed 6.54% +0.10 0.00 15 Yr. Fixed 5.71% +0.08 0.00 Updates Weekly - Last Update: 10/24 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 6.52% 0.00 0.64 15 Yr. Fixed 5.98% +0.04 0.66 30 Yr. Jumbo 6.73% -0.03 0.57 Updates Weekly - Last Update: 10/23 MBS / Treasuries UMBS 30YR 5.5 99.23 +0.25 Price / Yield Change MBS UMBS 5.5 99.23 +0.25 UMBS 6.0 100.82 +0.15 GNMA 5.5 99.60 +0.28 GNMA 6.0 100.76 +0.16 Pricing as of: 10/29 5:31PM EST 10 Year US Treasury 4.2591 -0.0225 Price / Yield Change US Treasury 2 YR Treasury 4.103 -0.041 5 YR Treasury 4.087 -0.032 7 YR Treasury 4.168 -0.032 10 YR Treasury 4.259 -0.023 30 YR Treasury 4.504 -0.026 Pricing as of: 10/29 5:31PM EST Latest Video It will be another year until consumers see effects of rate cuts, says The ... The disinflationary path will be a lot slower than people anticipate, says ... Consumer confidence surges as election nears, while job openings move lower Treasury Department expects to borrow $546 billion in q4, $19 billion less ... Around the Web Marketwatch Home prices hit a new record high, but the pace of growth is slowing significantly and 'showing signs of strain' CNBC Consumer confidence surges as election nears, while job openings move lower CNBC Morgan Stanley CEO says the era of zero interest rates and inflation 'is over' Marketwatch U.S. housing market is on the verge of a vicious cycle, which is not good for America, Lennar Mortgage head warns Marketwatch The bond market is rarely this volatile outside of a crisis. Blame the U.S. election. Marketwatch U.S. consumer confidence surges in October to highest level in nine months Marketwatch Fed goes quiet ahead of its Nov. 7 meeting, with quarter-point cut seen as likely Marketwatch Bonds are facing a make-or-break moment over the next 10 days or so Eye on Housing Construction Job Openings Fall in September CNBC 10-year Treasury yield rises above 4.3% as investors look to key data Treasury Treasury Borrowing Estimates Drop $19 Bln Calculated Risk Blog A Proposal to Address the Housing Crisis Marketwatch Trade goods deficit in goods surges to 2 1/2 year high and could weigh on U.S. GDP

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