This Week’s Interest Rates, Mortgage Updates & Real Estate News

posted on October 18th, 2013 | filed under: Uncategorized

Interest Rates

With the U.S. debt limit default date approaching this Thursday,  there is much uncertainty about the future outlook for our economy. One certainty is that a default will have a significant negative impact on those in the market for a new home. Interest rates on traditional 30-year fixed mirror the yield for the 10-year Treasury note as shown in the graphic below. A default could increase Treasury yields sharply because of the increased perceived risk, thus causing a increase in mortgage interest rates as well. Borrowers who have adjustable-rate mortgages that are tied to Treasury indexes would also feel a hit in the form of increased payments.  READ MORE

Article Courtesy of Samuel Scott Financial

posted by Jeff DeChamplain

Leave a Reply

Jeff DeChamplain