Mortgage rates to climb

1/25/2006

The yield on the benchmark 10-year note climbed 8 basis points in today's session. The increase in yields, which mortgage lenders use as a guide to set rates, has yet to affect mortgage rates, which are holding near Tuesday's levels.

At 4 p.m. EST, average mortgage rates (zero discount points) based on rates collected nationwide were:

The 30-year conventional fixed-rate mortgage was at 5.89 percent, up from 5.885 percent on Tuesday.

The 15-year conventional fixed-rate mortgage was at 5.43 percent versus 5.436 percent on Tuesday.

Due to the steep increase in Treasury yields on Wednesday, it is likely that mortgage lenders will be forced to begin edging rates up overnight and into tomorrow.

Mortgage rates edge upward

1/24/2006

Mortgage rates were slightly lower overnight.

Prices of U.S. Treasury securities fell, This forced lenders who base mortgage rates on Treasury yields to start edging rates back up.

At 4 p.m. EST, average mortgage rates (zero discount points) based on rates collected nationwide were:

The 30-year conventional fixed-rate mortgage was at 5.885 percent, down from 5.856 percent on Monday.

The 15-year conventional fixed-rate mortgage was at 5.436 percent versus 5.428 percent on Monday.

Overnight and into Wednesday mortgage rates might edge up to reflect Tuesday's increases in Treasury yields.

Mortgage rates move lower

1/23/2006

Mortgage rates crept down over the weekend due to multiple rallies in U.S. Treasury securities last week. Mortgage lenders who base their rates on yields were able to hold rates at lower levels.

At 4 p.m. EST, average mortgage rates (zero discount points) based on rates collected nationwide were:

The 30-year conventional fixed-rate mortgage was at 5.856 percent, from 5.867 percent on Friday.

The 15-year conventional fixed-rate mortgage was at 5.428 percent versus 5.445 percent on Friday.

If there is little economic news and the Treasury auctions go well, trading in bonds could remain subdued until Thursday when durable goods orders are released. If this is the case, mortgage rates would hold near present low levels.