The Mortgage Interest Rate Lock Advisory for Manchester NH for September 30, 2009

The Mortgage Interest Rate Lock Advisory for Manchester NH for September 30, 2009

Here are some of the events affecting mortgage interest rates today in Manchester, New Hampshire.

What the Mortgage Backed Securities Market is Doing Today:

The price of the FNMA 30-Year 4.5% MBS coupon opened down 2/32 at 101.28.

The price of the FNMA 30-Year 4.5% MBS coupon closed up 1/32 yesterday at 101.34 (as shown by the white line). MBS is currently trading down 3/32 at 101.25 (as shown by the blue line). Remember, on mortgage backed securities (MBSs), as the price goes down, the yield goes up - and so do mortgage interest rates. I expect that mortgage interest rates will be about 0.125% worse in price this morning as compared to yesterday.

Economic Reports, News, and Events Affecting Mortgage Interest Rates Today:

• Final Revision to the 2nd Quarter Gross Domestic Product (GDP) - there was a 0.7% decline in the GDP - a little better than the 1.2% decline analysts were expecting - and is slightly better than the 1.0% decline the previous month. This indicates that the recession is nearing an end as the overall economy is improving. However, this revision did not have much of an impact on the mortgage market or on mortgage interest rates this morning.

In other news, ADP reported that 254,000 jobs in the private industry were lost in September; analysts expected the report to reveal a loss of 298,000 jobs.

Are low interest rates here to stay for a while? Watch this video from CNBC to find out:

What's Happening With Mortgage Interest Rates Today:

Low to Moderate Volatility. Overall, look for some volatility in the mortgage market today.

My Mortgage Interest Rate Lock Advice for Today:

If I were considering financing/refinancing a home, I would...

• Lock if my closing was taking place within the next 7 days
• Float if my closing was taking place between 8 and 30 days
• Float if my closing was taking place between 31 and 45 days
• Float if my closing was taking place between 46 and 60 days

This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of any or all other borrowers.

For the best mortgage interest rates in Manchester, NH, click here.