Are Mortgage Rates Dropping?

Yes mortgage rates are dropping next month, also the six horse will win at aqueduct in the fourth, and the dow will top 14,000.

Posted by: guest at September 25, 2007 12:35 PM

I think what the 12:35 poster is trying to say is that if anyone actually new what mortgage rates were going to do, none of us would be posting on this board...We would be sipping drinks at our private retreats counting all of the money we made as bond speculators.

But seriously - Best source i have run across is bankrate.com, they have a weekly mortgage trend analysis and commentary. It seems to to fairly accuarate - but nothing is ever 100%

Good luck.

Posted by: guest at September 25, 2007 1:06 PM

First poster here. Bankrate.com should change their name to baitandswitch.com. Completely unreliable.

Posted by: guest at September 25, 2007 1:18 PM

what do you mean 1:18? I have found their weekly panel on mortgage rates to be fairly accurate and at least somewhat informative.

If you mean their mortgage comparison search then i might agree as I have seen stuff on there that seems totally illogical. But I dont think it is bankrate, I think its the actual brokers and banks posting BS products. Agree?

Posted by: guest at September 25, 2007 1:27 PM

I agree, but I think there are better more unbiased sources out there, like the mortgage bankers association etc.

Posted by: guest at September 25, 2007 2:27 PM

Original poster --

Your best bet is to call a real live mortgage broker in the neighborhood. I use Trachtman & Bach (Hymie S.). The reason is that those online sites are never reliable for the NY market and T&B so far has always given me a better rate than I was able to find elsewhere.

Posted by: guest at September 25, 2007 2:33 PM

they (rates) are not dropping because they move according to the 10 and 30 year bond. The long bonds are suffering with the steadily declining value of the US dollar. Overseas investors are taking a dim view of re-flating the US economy by pumping yet more cash in, so they are requiring a higher return when buying long treasuries. This pushes fixed rates and therefore mortgage rates up.

So despite what is happening in the short end thanks to helicopter Ben at the fed, dropping cash over the city, the long end is as high as it was before, or rising further.

If you want to take a very short term ARM you might find rates are easing.. But then your cost of funds are a complete unknown going forward.

Posted by: guest at September 25, 2007 3:00 PM