Mortgage rates fallen again today – now officially below the lowest level in the last 2 weeks. To do that, rates had to completely undo the damage done exactly 2 weeks ago after the Fed announcement caused the biggest one-day rise in months. That rebound was largely (but not entirely) achieved yesterday. Today it was simply about crossing the finish line with modest improvements to the underlying bond markets.
Bonds in particular are losing some ground this afternoon. It is too late for the average lender to make changes to mortgage rates today, but if those levels are intact tomorrow morning, rates will likely be a little higher.
The week’s greatest potential for volatility is still reserved for the response to Friday morning’s job report.
The average lender today offers conventional fixed 30-year purchase rates of around 3.00%, with refis being around an eighth of a point (0.125%) higher. This assumes a top-tier scenario and “no cash-out” on the refi side.