Mortgage rates dropped this week in Freddie Mac’s Weekly Survey. The 30 Year Fixed Rate Mortgage was at 3.76% in today’s Freddie Mac survey and the 15 Year Fixed Rate Mortgage was at 3.01%. The Federal Reserve has indicated it will stop buying mortgage bonds very soon, raise the Fed Funds rate in mid-March, and then begin to liquidate its mortgage bonds sometime later in the year. The direction for mortgage rates seems clear. It’s now a matter of seeing how much and how soon mortgage rates will be impacted by the diminishing liquidity and the continued volatility in the bond markets. As of today it’s still unclear whether the recent geopolitical instability will have a longer term material impact the Fed’s rate and balance sheet decisions. In the very short term rates have dropped due to current geopolitical events; but it remains to be seen if there will be a longer term effect.
Freddie Mac’s Weekly Survey was released this morning with its most recent assessment of the mortgage rate landscape. See the details of their survey below.
(dynamic chart with current info)