Mortgage Rates on the Rise

Mortgage rates were on the decline over the last couple of weeks, making many feel that the real estate market was correcting itself, and offering a time for some homeowners to refinance out of adjustable rate mortgages into something more stable. It also afforded many mortgage professionals a small break and an increase in business. Due to the Labor Report and a jittery T-note, however, mortgage rates are now on the rise again.

Analysts are hoping that the upswing will not continue, indicating a normal adjustment to the mortgage market. Others are suggesting that this is the turn in the economy that was projected to happen, and that rates will continue to rise. Most mortgages had a 0.10-point increase, with a 30-year fixed rate averaging 6.37 and the 15-year rate averaging 6.06. Rates for adjustable mortgages also went up; each mortgage product is more than 1.00 point higher than the same week last year, although that trend has been in place all year.\r\n