Should I Float? Should I Lock? - Daily Update for Friday, August 7, 2009

Should I Float? Should I Lock? - Daily Update for Friday, August 7, 2009

Here are the daily thoughts on floating or locking if you are asked by your clients.

As always - consult your favorite mortgage professional who will be able to offer the best advice for YOUR unique situation.

Unemployment fell .1% to 9.4%, non-farm payrolls were down only 247,000, hourly earnings rose as did the average work week. Does this mean the recession is truly over? As said before, 1 data point does not a trend make. Though looking at the stock market would be cause for great rejoicing.

Bonds are bearing the brunt of all this. Down 59 basis points already for the day and over 200 basis points since this time last Friday. If now was ever the time to do so heed the recommendation below.

Technically speaking - the FNMA 4.5% 30 year bond has fallen below the 200 day and 50 day moving averages. It is currently heading towards oversold status.

I am recommending to

LOCK your best mortgage rate.

To learn why one should Float or Lock -

Check out Should I float? Should I lock? & Reasons to Float or Lock

To obtain rates and fees with a $500 guarantee - come visit