Posted To: Mortgage Rate Watch

Mortgage rates continued higher for the third straight day on Wednesday. This brings the average lender to the highest levels in exactly 2 weeks. But that’s the most dramatic way to represent the facts. While it’s true that rates are at 2 week highs, they’re not too far away from 2 week lows. In fact, many borrowers would be seeing the same “note rate” at the top of today’s loan quotes as any other day in the past 2 weeks. Indeed, the same could be said for the past 2 months in many cases. If note rates are unchanged, why are we talking about “higher rates?” In short: upfront costs! Whether it’s a positive or negative value, mortgages have an associated cost that allows for smaller adjustments than the typical 0.125% interest rate increments. For example, a 3.25% note rate with $1400 in lender…(read more)

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Source: Mortgage News Daily