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.
This morning the Retail Sales report came out with a mixed bag. All sales was actually a 1/10% higher than expected, where as the less volatile report that doesn't include auto sales was lower by 1/10%. This couple with what appears to be a very weak start to Wall Street due to banking concerns could lead to a better start for bonds.
Technically speaking - the FNMA 5.5% 30 year bond has bounced back into a narrow trading range. If stocks actually tank today, a significant rise could occur.
As always, things depend on your personal style. Pundits will be recommending to float - though for me until the current 2 1/2 year ceiling is broken I am recommending to
Lock your interest rate.
To learn why one should Float or Lock -
Check out Should I float? Should I lock? & Reasons to Float or Lock
Education in the Mortgage Planning process help folk understand how to turn their "biggest debt" into their greatest asset! Have me show you how to accomplish this.
Should I float? Should I lock? - Daily Update for Monday, July 7, 2008
Should I float? Should I lock? - Daily Update for Thursday, July 3, 2008
Should I float? Should I lock? - Daily Update for Wednesday, July 2, 2008
Should I float? Should I lock? - Daily Update for Tuesday, July 1, 2008
Should I float? Should I lock? - Daily Update for Monday, June 30, 2008
Should I float? Should I lock? - Daily Update for Friday, June 27, 2008
Should I float? Should I lock? - Daily Update for Thursday, June 26, 2008
Should I float? Should I lock? - Daily Update for Wednesday, June 25, 2008
Should I float? Should I lock? - Daily Update for Tuesday, June 24, 2008
Should I float? Should I lock? - Daily Update for Monday, June 23, 2008
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Thank you for the update. I am meeting new clients this evening, and I will encourage them not to sit on the fence, to get their loan started asap.
Kathryn - yes, now is a great time to buy!
Once again - I totally agree. Revisions to these numbers seem inevitable.
Matthew, you are in MD I am in CA. That would be a lot of drama for one loan. Most clients like to be able to meet their Loan Officer face-to-face. Thanks for the offer anyway.
I agree as well. Rates are incredibly low right now so it would be much safer for a buyer to lock their rates than take the risk.