Mortgage Rate Trend Index Down: Sept. 18, 2014
Will rates go up, down or remain unchanged?
Michael BeckerBranch manager, Sierra Pacific Mortgage, White Marsh, Maryland
The initial reaction to this week's Fed meeting and statement was an instant spike in rates. This, despite the Fed leaving the statement that rates will remain low for a "considerable time" unchanged. I think the initial reaction will turn out to be an overreaction and that mortgage rates will drift lower in the coming week.
Shaun GuerreroSales manager, Fairway Independent Mortgage, Silverdale, Washington
The financial world watches the Fed as if it were a Mayweather fight -- it will make for a lot of hype and will come down to the card. In other words, look for the data, not the comments. Treasury purchases will be reduced by $5 billion versus the $10 billion first reported as the end of QE3 approaches. What does this mean? Well, rates took a jab to the face, but not a knockout. Rates will regroup after a series of body blows over the last week and look to come back better next round. So, float your interest rate carefully for now.
Dick LepreSenior loan officer, RPM Mortgage, San Francisco
The daily tech is finishing its bear cycle and (I think) will rally on expected words from the Fed that it will keep rates low because recovery is not substantial enough and inflation is not happening. Higher prices, lower yields and rates.
Jim SahngerMortgage planner, Schaffer Mortgage, Palm Beach Gardens, Florida
Inflation is the enemy of bonds and interest rates, and we simply don't have any. Combined with continued unrest abroad, rates should be able to settle down and improve a bit. Look for rates to be a bit lower next week.