Should I float? Should I lock? - Daily Update for Friday, May 2, 2008

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 has dropped - to 5.0%, Jobless claims weren't as bad as expected - still lost 10,000 jobs. What does this mean? Interest rates going up today.

Technically speaking - the FNMA 5.5% 30 year bond have dropped to a key level of support this morning. While it was down as much as almost 100 bps down, the bond has rebounded back.

With all this volatility, now would be a good time to continue 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