October 23: Mortgage rates fell abruptly this week, after the long-awaited Employment Situation Report painted a bleaker-than-expected picture for labor markets. The report was originally scheduled for October 4th, but was delayed due to the shutdown. Conforming 30yr Fixed moved down to 4.125% for many borrowers depending on the scenario, though some lenders remain at 4.25%.
“Surprise bad number on the jobs report. Good for rates and I think the trend will continue. Weak numbers all around. Sub 4% may be just around the corner.” said Mike Owens, Partner, Horizon Financial Inc.
Today, the ten year note fell to 2.48, the lowest level since late June.The rate helps determine mortgage rates meaning they are likely heading lower tomorrow.
Meanwhile Mortgage applications decreased 0.6 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending October 18, 2013.