Wow, did you see that crazy stock market this week? Within a matter of hours, the Dow Jones Industrial Average plummeted almost 1000 points, only to see it come back and recover 650 points back. Oh my! Though it's still not clear as to what exactly sent the sellers into a flurry, the overall volatility of the market reared its ugly head.
Where does that leave mortgage interest rates? Fortunately, in our current state, investors are moving funds back and forth between stocks and bonds. Bonds are what mortgage banks are watching, since they have the most affect on rates. Since loads of money left risky stocks and sought refuge in safer bonds, the prices of bonds rose. That's GOOD NEWS for mortgage rates, but as we said, the prices came right back down.
Overall, mortgage interest rates are hanging on at very low levels, still offering terrific deals for investors and new buyers alike. There's still time to take advantage of these rates, so if you know of buyers sitting on the fence, now might be a great time to jump in the game before we see inflation rear its ugly head.
