Mortgage Rate Trend Index Down: Feb. 4, 2016

Will rates go up, down or remain unchanged?

  • Michael Becker

    Michael Becker

    Branch manager, Sierra Pacific Mortgage, White Marsh, Maryland

    Last week I was speculating about the Fed meeting and subsequent statement and its possible effect on interest rates. But I was focusing on the wrong central bank. It was the Japanese Central Bank that shocked the world when it joined Europe in moving to negative interest rates. This drove yields down on Treasury bonds as well as mortgage rates. With speculation about whether the Fed will reverse course on interest rates and so much uncertainty in regards to the global economy I see rates dropping a little further in the week ahead.

  • Dick Lee

    Dick Lee

    President, Independent Mortgage, Newton, Massachusetts

    Rates will drop a tad. However, if you are currently in a transaction, please lock the rates, as they can potentially increase -- though I believe they will drop.

  • Holden Lewis

    Holden Lewis

    Assistant managing editor,

    It seems that mortgage rates have been falling since biplanes ruled the skies. In fact, it's been only 5 weeks. But it's rare for rates to fall more than 4 weeks in a row: It never happened last year, and it happened 3 times in 2014. Here I am, predicting that rates will fall for 6 weeks in a row, because momentum, baby!

  • Greg McBride

    Greg McBride, CFA

    Chief financial analyst,

    Financial markets are on edge and global economic uncertainty remains high, so mortgage rates keep falling. A strong jobs report could stall or reverse this, but anything less will only further feed concerns about a slowdown.

  • Shashank Shekhar

    Shashank Shekhar

    CEO, Arcus Lending Inc., San Jose, California

    Crude oil levels have taken a life of their own, with domestic and global markets completely fixated on price. Also, chances of the Fed increasing the rate in the first half of 2016 is out the window. Most benchmarks are pointing toward flight to safety for investors, which should bolster mortgage-backed securities and result in lower rates for consumers.

  • Brett Sinnott

    Brett Sinnott

    Vice president of capital markets, CMG Financial, San Ramon, California

    Markets continue to push rates further down as the global economy is hitting rough spots on both the domestic and foreign fronts. This is great news for any borrower still looking to refinance or purchase a home. Struggles across European and Asian nations have most economies looking to loosen policy, while domestically the Fed may have tightened prematurely. Many believe that this is putting the Fed in a tight spot and there is a chance that they do not raise rates for the remainder of the year. This could push mortgage rates past recent lows, as the 2016 prediction was that rates would be increased roughly 4 times. Oil continues to be the biggest mover in the stock market even as we move through earnings season, while China is on everyone's radar as its politicians look for ways to prevent a "hard landing" after several years of economic growth.

Get today's mortgage interest rates and information on recent rate trends today.


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