Welcome to your Monday Mortgage Rate Update for March, 10 2025. Mortgage markets have shown positive momentum in recent weeks, with rates generally improving since early March. Today, we’re seeing continued fluctuations influenced by market dynamics. Let’s dive into the details:

Market Snapshot:

• Morning Opening (8:37 AM): Mortgage-Backed Securities (MBS) opened up +25 basis points (bp). Notably, there were no significant economic data releases scheduled for today, allowing market forces to dictate the initial trend.
• Mid-Morning Activity (10:00 AM): MBS continued their upward trajectory, reaching +28bp (UMBS 30yr 5.5 at 99.97). This position is approximately 3bp lower than Friday’s equivalent time. The market experienced unfavorable repricing on Friday, but today’s decline in stocks has provided a lift to MBS. Specifically, the Dow Jones Industrial Average is currently down by approximately 400 points.
• Consistent Levels (11:57 AM & 2:00 PM): Throughout the late morning and early afternoon, MBS remained stable at +28bp, indicating a period of volatility followed by relative consistency.

Current Rate Details:

For those considering a 30-year conventional fixed-rate mortgage, here’s a snapshot of the current rate environment:

• Par Rate: 6.125% with an Annual Percentage Rate (APR) of 6.176%. This is based on a $400,000 purchase with a 20% down payment, resulting in a $320,000 loan. The principal and interest (P/I) payment would be approximately $2,156.
• Lowest Rate Example: It is possible to obtain a rate of 4.500% with an APR of 4.880%. However, this comes with a significant cost of $33,539 in discount points to buy down the rate. The P/I payment at this rate would be approximately $1,621.

Key Takeaways:

• Despite the stock market’s downturn, MBS have shown resilience, contributing to relatively stable mortgage rates.
• The absence of major economic data releases has allowed market sentiment and stock fluctuations to play a more prominent role.
• Buyers should carefully weigh the benefits of lower rates against the upfront costs of discount points.
• Keeping up to date with the Monday Mortgage Rate Update is vital for anyone in the home buying process.

What This Means For You:

If you’re in the market for a mortgage, it’s crucial to stay informed about these fluctuations. Consider consulting with a mortgage professional to discuss your specific financial situation and explore the best options available to you.

We will continue to monitor the market and provide updates as they become available. Check back regularly for the latest Monday Mortgage Rate Update.