Discover the true advantage of partnering up with Advantage Loans, Inc. for your mortgage needs. Whether you are a Real Estate agent, homebuyer, or homeowner looking to refinance...A.L.I. can help guide you in the right direction. This blog is designed to help you stay informed with the latest rate forecasts, industry changes, and other mortgage related information. Thanks for stopping by and we look forward to your follow.
Monday, April 18, 2011
Mortgage Rate Forecast for April 18th - 22nd 2011
With traders pricing in a 64.5% chance that Greece will default on it's issued debt within 5 years, money has been flowing into the safe haven of U.S. Bonds. This had caused Mortgage Backed Securities to move slightly higher near the end of last week, but has also caused the Mortgage Backed Securities to battle a tough line of resistance at the 100 day moving average. A line of resistance that the Mortgage Backed Securities has fought and lost numerous times recently.
Short term the outlook is for stable or slight improving rates, while the long term outlook remains in favor of rising rates. When rates do finally make the turn around and head higher, it will happen very quickly. At this time it's best to advise your buyers to get off the fence and take advantage of what are still historically low rates.
Do not forget that the markets will close at 2:00 p.m. in Thursday and will be closed all day Friday, so any action that is going to take place in the Mortgage Backed Securities markets will do so by Wednesday.
It is our hope everyone has a safe holiday weekend.