Mortgage Rate Trend Index
Each week, Bankrate.com surveys mortgage experts to gauge the state
of mortgage rates over the next 30 to 45 days: Will rates rise, fall
or remain relatively unchanged?
This week (May 9 - May 15) the experts say: Don't lock unless
you need to. Let it ride. Almost two-thirds of our respondents believe
rates will stay the same or fall over the next month.
PANEL VOTE: Down: 37% Up: 21% Unchanged: 42%
EXPERT'S COMMENTS:
"Slow recovery will keep rates low. Treasuries should trend
lower for the next couple of months. I also think banks will reduce
their spreads, thus lowering mortgage rates."
-- Todd Brown, executive vice president, Patriot National Bank, Melville,
N.Y.
RATE VOTE: Down
"Providing the Fed leaves prime alone, most likely we will have
great, low interest rates through the summer."
-- Randy Starman, president, 1AAproved Mortgage, Reno, Nev.
RATE VOTE: Unchanged
BANKRATE'S ANALYSTS:
"Mortgage rates have declined in recent weeks to reflect expectations
of a prolonged low-rate environment. The slower, more measured economic
rebound, with inflation remaining well in check, gives the Federal Reserve
ample time before enacting any interest rate hikes. Home buyers and
refinancing candidates have been the happy beneficiaries."
-- Greg McBride, financial analyst, Bankrate.com
RATE VOTE: Down
"A gradually improving economy, combined with federal deficit spending,
will slowly push long-term rates higher."
-- Holden Lewis, reporter, Bankrate.com
RATE VOTE: Up
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About the Bankrate.com Rate Trend Index
Bankrate.com surveys more than 100 experts in the banking and mortgage
fields to see if they believe certificate of deposit and mortgage rates
will rise, fall or remain relatively unchanged. For the deposit index,
the panel comprises banks, thrifts and credit unions that directly offer
FDIC-insured certificates of deposit to the end consumer. For the mortgage
index, the panel comprises mortgage bankers, mortgage brokers and other
industry experts who provide residential first mortgages to consumers.
Results from Bankrate.com's CD Rate Trend Index will be released each
Wednesday. Results from Bankrate.com's Mortgage Rate Trend Index will
be released each Thursday.