October 14th Market Update

Good Afternoon,

As expected, rates bounced back up quickly after matching near record lows last week. A lot of this has to do with investors taking their gains and moving money elsewhere from Mortgage Backed Securities. The Earnings reports released from Intel and JPMorgan Chase also led to a boost in the stock market this morning. This tends to be negative for MBS and interest rates in general.

No new word on the homebuyer tax credit although there are still talks of it being raised to $15,000 and applying to all homebuyers who plan on residing in the home being purchased instead of simply first time homebuyers. This could end up being very good news for the mortgage industry but details have yet to be finalized.

Have a good week.

-Matt

30 year fixed: 4.875%

15 year fixed: 4.375%