Posted To: Mortgage Rate Watch

Mortgage rates are off to a slow start in the new year, and that’s a good thing. An absence of movement means the average lender continues offering rates that are at or near record lows. For top tier, conventional 30yr fixed loans, that’s around 2.75% for refinances and 2.5% for purchases. Whether or not rates remain in this territory in the short term may come down to Georgia’s senate run-off elections this Wednesday. Why would rates care about that? Simply put, any time one political party has full control (i.e. House, Senate, Presidency), it’s easier for the government to spend money (or legislate a revenue shortfall, as was the case with the tax bill in 2017). In either case, the result is more Treasury debt, and the level of Treasury debt is a key input for interest rates in general. This…(read more)

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Source: Mortgage News Daily