Florida Mortgage Market – Morning Update

by Florida's #1 Mortgage Planner on March 6, 2008

Locking Stance:  LOCKING     Mortgage Bonds:  -16bp

Just how ugly is it? 

Let’s see, while the media has been talking about old news, you know, mortgage rates dropping and mortgage applications rising, reality has been quite different.  Check your sources when seeking mortgage advice, because last week’s data is not good today, so spitting off the news of last week as being current in the markets will cost you a huge amount of money.

If you read our Week in Review post, you know bonds ended the week higher, yielding lower rates, which we had hoped (falsely) would stick.  However, since day 1 of this week, bonds have done nothing but dropped, erasing all the gains of last week and more.  In fact, bonds have moved down 110bp in the first 3 days of trading this week.

This morning has already seen a wild ride, that may continue throughout the day, so stay "tuned in".  Bonds dropped 62bp right out of the starting gate, but have bullied back to being down only 16bp, most likely due to "triggers".  We will keep you posted as the day goes on.

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