Mortgage Rate Lock
Would you lock on a mortgage rate now or wait for the FED announcement on Sept 18?
THEY NEED TO LOCK NOW.
if the FED lowers the ‘discount rate’, it will stimulate the market AGAIN. Consumers will feel more confident, and start buying more. A few days ago they announced that the FED will lower the discount rates…and the MARKET WENT UP….the mortgage rates went up ALSO.
Mortgage rates are based on 10yr bonds.
If the market is doing good..nobody will invest in bonds….everyone will put their money in the market.
9/11 is a perfect example….the market had a crash…and the rates went down to 4.0% for a 30yr fixed. the market has been going up since then…and so have the mortgage rates.