Mortgage Rates Retreat Below Eight Percent
You’ve probably heard how mortgage interest rates topped 8% recently, but have you heard that those rates have fallen to below 7.5%? The Fed’s rate hikes to combat inflation affect, but are not directly linked, to mortgage rates. Mortgage rates registered their biggest one-day drop in four years as last month’s encouraging inflation report led bond yields to decline and mortgage rates to fall.
While this obviously does not represent anything near a return to the 3-4% rates that homebuyers would love to see (and will probably never see again), it IS noteworthy that rates fluctuate, they are not permanently over 8%, and they will certainly fall further after the Fed achieves its goal of reducing inflation to a manageable level.
If you are following mortgage rates because you are considering the purchase of a home, we strongly recommend you find a lender you trust and stay in touch with them about the lending environment. Robin McGlone (303-378-5973) and Jennifer Hager (303-618-8999) at Select Lending Services are excellent loan officers you can trust.