Higher Mortgage Rates

[Emily Smith]

:welcome:
Hi,

Mortgage rates continue to rise steadily with the 30-year FRM increasing by seven basis points to close at 6.45% and 5/1 ARM increasing by five basis points to close at 6.24%.

Though the economy is more buoyant, from all parameters it is apparent that inflation has not yet reached a point where it can be contained. The rate of growth is not evenly spread with some sectors faring better than the others.

One of the effects of an upward looking economy is reflected in the rise in mortgage rates. Nearly half of all mortgage applications are for refinancing, which continues to be a popular option. But an increase in activity in the housing sector can only be apparent once the existing inventories are cleared.

Studies indicate that mortgage rates may remain steady this week without any large increases.

Thanks and Regards
Rob Thomos