Mortgage Rate Trend Index Up: May 28, 2015
Will rates go up, down or remain unchanged?
Sales manager, Fairway Independent Mortgage, Silverdale, Washington
Low rates won't stand ... and now we battle supply and demand?
The National Association of Realtors announced that home prices increased by 7.4 percent during the year's first quarter. So that $200,000 house that you passed on in November? You'll now pay $214,800 for something similar. Primarily because a lack of homes for people to buy and faster firming of prices for those homes that are available. Analysts anticipate home purchase loans to increase to $730 billion in 2015 from $638 billion in 2014. Fannie Mae reports the 30-year fixed rate rose to 4.04 percent -- the highest since December. My message is to lock and don't wait.
CEO, Arcus Lending Inc., San Jose, California
As predicted last week, the mortgage rates did rebound a little. This week, the biggest market mover could be the GDP report on Friday. A strong report will result in a mortgage-backed securities sell-off, resulting in higher rates.