Your Daily Mortgage Commentary & Rate Lock Advice for Massachusetts Mortgage Rates
Courtesy of the Massachusetts Mortgage Broker
Wednesday’s bond market has opened down slightly with no relevant economic news scheduled for release today. The stock markets are relatively calm with the Dow nearly unchanged and the Nasdaq up 10 points. The bond market is down 5/32, but we will likely see a slight improvement in this morning’s Massachusetts mortgage rates due to strength late yesterday.
Tomorrow morning brings us the release of the Institute of Supply Management’s (ISM) manufacturing index for June. This important index measures manufacturer sentiment by surveying trade executives on current business conditions. A reading above 50 means that more surveyed executives felt business improved during the month than those who felt it had worsened. Analysts are expecting a reading of 59.0. That would indicate that manufacturers felt business worsened from the previous month, when we saw a 59.7 reading. Good news for bonds and Massachusetts mortgage rates would be a weaker than expected reading.
The benchmark 10-year Treasury Note did close below 3.00% yesterday. Even with today’s minor loss it is at 2.97%. The question is whether it can stay below this level. If it remains below that threshold the next day or so, we could see more gains for bonds and even lower Massachusetts mortgage rates. The next day or two will be key to determining which direction we are headed.
Tomorrow and Friday’s data will likely heavily influence which way bonds move. We have an important index tomorrow and the almighty monthly Employment report Friday morning. These two reports can lead to significant movement in the markets and Massachusetts mortgage rates, so be prepared for an active couple of days.
If I were considering purchasing or refinancing a home and predicting likely Massachusetts mortgage rates, I would…
Lock if my closing was taking place within 7 days…
Lock if my closing was taking place between 8 and 20 days…
Float if my closing was taking place between 21 and 60 days…
Float if my closing was taking place over 60 days from now…
This is only a general opinion of what I would do if I were considering whether to lock or float a Massachusetts mortgage based on the current mortgage market. Your individual situation may be different. Contact me if you would like advice for your particular circumstances.
Copyright : Mortgage Commentary
Geof McLaughlin, better known as The Massachusetts Mortgage Broker, is a nationally acclaimed mortgage professional committed to educating and empowering consumers about all things mortgage through his popular Massachusetts Mortgage Broker blog.
Geof is a top loan originator for one of the country’s leading mortgage companies, Mortgage Master Inc, with a proven reputation of offering its clients the best Massachusetts mortgage rates and lowest closing costs. He can be reached directly at 508.656.0055 or at geof@MAMortgageBroker.com.
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