Check out the latest news from the Federal Open Market Committee (the Fed).
The Federal Reserve announced yesterday that it plans to reduce its balance sheet at a predictable pace. Part of this plan includes several increases to the federal funds rate over the course of this year and next year, which could correspond to a rise in mortgage interest rates as well.
Freddie Mac reports, “following a sharp decline last week, the 10-year Treasury yield rose 11 basis points this week. The 30-year mortgage rate, however, remained unchanged at 3.78 percent. If Treasury yields continue to rise, mortgage rates could see an increase in next week’s survey.”
What does this mean for you?
If you’re planning to refinance your home, or buy a new one, now might be the best time to do it.