Marc's Mortgage Matter's

Just got this alert this morning, one of many over the last many weeks. Went like this;

Yesterday was not a good day for mortgages, and bond yields, as the 10-year note pushed through 4.0% and prompted mortgage selling. Why? Interestingly, as rates move up, servicers are inclined to sell lower rate mortgages, thus shedding duration, originators added forward hedges, and money managers sold mortgages. What triggered this was a better-than-expected Durable Goods report, along with a poor 2-year note auction by the government. (Today they are selling $19 billion of 5-yr notes.) That puts the 10-yr at 4.06% and mortgage rates worse by another .250.

Looks like we're in for a long haul. At least Memorial day passed uneventful and full of sunshine. Open houses were busy, and many are getting some sharp offers accepted by eager sellers. A buyers market indeed although, many sellers are holding off. The secret is to know the comparables in the area. Call me if you need that explained.  A couple wanted a 1 Fam listed at 599K and offered 485K after lots of back and forth and got it. Nice home but needed some tlc. He's a handyman so that helps. Seller & broker started by no way this, no way that, - I found nearby comps as they are called, for way lower then the asking price. There was no way they can counter that, and in the end the buyers prevailed :)

More to follow later or tomm ;)