Thursday, April 3, 2008

Mortage Rates Rise

Despite the Fed cutting the short-term rates, mortgage rates are rising according to Bankrate.

The confirming 30-year fixed mortgage rate rose to 6.12%, the 15-year rose to 5.7% and the average jumbo 30-year rate is 7.52%.  

Are inflation and mortgage risks catching up with the mortgages?  For those who think housing has bottomed, we still have a long way to go.  

According to Goldman Sachs, we are only half way there.  Now just assume what happens if the mortgage rates go up and there are more layoffs.

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