The Feds have really let inflation get out of control. Remember this Fed, 2.5 months ago, not 2.5 years ago was buying treasuries, buying mortgage bonds, and keeping rates at zero.
Monday the 13th we saw most lenders quoting rates above 6% on the retail side.. This was a huge jump in the market, and we have seen a LOT of big jumps on the market.
The market was expecting a .75 increase in rates and that is what the Feds gave us Wednesday. While many may think this would increase mortgage rates, mortgages rates and the federal funds rate do not move together, however they can move together. Mortgage rates actually closed about .25% LOWER than they opened.
Unfortunately after this move many central banks had some surprise rates hikes including Swiss Banks 50 bp hike and we lost our gains by Friday.
For questions on rates for your scenario you can always visit: https://freshhomeloan.com/todays-rate-checker/
Garrick Werdmuller is Broker Owner of Fresh Home Loan Inc., in Alameda Ca. and can be reached at Garrick@FreshHomeLoan.com or 510.225.6407. DRE BRKR 01368202 NMLS 242952