Mortgage Blog

Home rates the same level as before the Fed 1st rate cut this year

November 8th, 2019 10:32 AM by Eric Fang

Home loan rates are at the same level they were at back on July 31st when the Fed cut rates for the first time in 10 years.

A word of caution: long-term rates like mortgages can move up very fast, and it is in a complacent environment like today when things suddenly change. Using history as an example, the 10-year Note yield has traded at 1.40% or lower on three separate occasions in the past seven years. In the two previous times -- 2012 and 2016 -- the 10-year yield quickly spiked to 3% and 2.75% respectively in just six months. This sharp move higher in yield also weighed on home loans, which also rose sharply.
Posted in:General
Posted by Eric Fang on November 8th, 2019 10:32 AM



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