
Friday Mortgage Rate Update: Rates Rise on Positive Economic Data
Mortgage rates have seen an upward trend this Friday, following the release of positive economic data.
Market Update
- MBS: Mortgage-backed securities are up +13 basis points as of 10:00 AM.
- Durable Goods Orders: September’s Durable Goods Orders were slightly better than expected, with a decline of 0.8% compared to the consensus estimate of 1.0%. Excluding transportation, orders rose 0.4%.
- Consumer Sentiment: Consumer sentiment increased to 70.5, surpassing the consensus forecast of 69.0.
- Stock Market: The Dow Jones Industrial Average is up 150 points.
Rate Update
For a 30-year conventional fixed-rate mortgage on a $400,000 purchase with a 20% down payment:
- Par Rate: 6.875% APR 7.068% with a P&I payment of $2,102.
- Lowest Rate: 4.750% APR 5.731% with $27,504 in discount points and a P&I payment of $1,669.
Positive economic indicators have led to an increase in mortgage rates this Friday. Borrowers looking to lock in a lower rate may consider paying discount points.