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Mortgage Rates to Go Down Today as Treasury Yields Plunge - Time to Refinance.

The_Linux_Crew 24,075 21,016 June 24, 2016 at 05:08 AM in Finance (2)
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Last Edited by The_Linux_Crew June 24, 2016 at 05:24 AM
The 10-year Treasury yield has plunged a full 21 basis points to 1.53% after the U.K. voted to leave the EU. It's the largest one-session decline since the panicky late summer of 2011. TLT +3%, TBT -6% premarket


http://seekingalpha.com/news/3190...s-rate-cut
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#2
Yields are not surging, they're falling
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#3
Quote from Redelephants View Post :
Yields are not surging, they're falling
Sorry. Mistype. Should have said prices. Either way, mortgage rates will be priced much lower today once the banks sort through the mess.

Anyway, here is a primer for those who haven't been following the news.

Quote :
Home mortgage rates tend to move in the same direction as U.S. Treasuries. So, when Treasuries fall, so do mortgage rates.

"Mortgage rates fell to a 3-year low this week in large part because financial markets are tied in a knot about the looming Brexit vote," Bankrate's McBride says.

On Thursday, the benchmark 30-year fixed-rate mortgage fell to 3.69% from 3.74%, according to Bankrate's survey of large lenders. A year ago, it was 4.13%. Four weeks ago, the rate was 3.76%.

If the UK leaves the EU and that trend continues, it should make it cheaper and easier for homebuyers to finance their house purchase.

RATE SEARCH: If you're searching for a house, look for the best mortgage rates today at Bankrate.com.
Note: The above was written before this morning's brexit news, but banks will not price this into their rates until later today because of the massive swings, which makes pricing difficult. But they will come down today.

Quote :
With Brits voting for a "Brexit" and global stock markets sinking, investors are seeking the perceived safety of U.S. bonds. Already, the 10-year Treasury price -- a proxy for mortgage rates -- was moving higher in early trading this morning. But as prices go up, yields go down, and that means lenders will have room to lower their mortgage rates. Adjustments to rate sheets could come as early as later today.
https://www.nerdwallet.com/blog/m...y-june-24/
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Last edited by The_Linux_Crew June 24, 2016 at 05:44 AM
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#4
Great thread in Hot Deals... Blah
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#5
Will we see 2% for 15 years? laugh out loud
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#6
Quote from tennis8363 View Post :
Great thread in Hot Deals... Blah
Save $1 on toilet paper, or thousands of dollars in mortgage interest? Hmmm.
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#7
lets not forget all the responsible savers who get screwed over again...
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Quote from The_Linux_Crew View Post :
Save $1 on toilet paper, or thousands of dollars in mortgage interest? Hmmm.
The deal was moved to the appropriate spot, deal discussion.

This isn't about saving money or how much, it was simply put in the wrong place. Not a big deal.

I am down at 3.49%, so not much of a need to look, personally.
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#9
Quote from tennis8363 View Post :
The deal was moved to the appropriate spot, deal discussion.

This isn't about saving money or how much, it was simply put in the wrong place. Not a big deal.

I am down at 3.49%, so not much of a need to look, personally.
Yeah, just a heads up to people who might not have made the connection between Brexit and mortgage rates. I suspect rates will gradually go back up once the dust settles.
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#10
http://www.cnbc.com/2016/06/24/al...eberg.html
Quote from The_Linux_Crew View Post :
Yeah, just a heads up to people who might not have made the connection between Brexit and mortgage rates. I suspect rates will gradually go back up once the dust settles.
This is the tip of the iceberg according to Greenspan and worse than Oct 1987. This is not going to be a one day event and things are back to normal. His comments are concerning and accurate.

http://www.cnbc.com/2016/06/24/al...eberg.html
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Last edited by dealmobile June 24, 2016 at 07:19 PM
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#11
Quote from dealmobile View Post :
http://www.cnbc.com/2016/06/24/al...eberg.html [cnbc.com]
This is the tip of the iceberg according to Greenspan and worse than Oct 1987. This is not going to be a one day event and things are back to normal. His comments are concerning and accurate.

http://www.cnbc.com/2016/06/24/al...eberg.html [cnbc.com]
Just an update: 10 year yields have hit a new low.
http://www.wsj.com/articles/bench...1467378290

Even though people might not recognize it, this is potentially the hottest "deal" I have posted.
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