Mortgage Rates Still Low Refinance Soon

Mortgage Rates Still Low Refinance Soon

Although they’re pretty low, mortgage rates aren’t at their lowest point again. They’re close, but not quite.

We hit the lowest point in early summer 2013. Then rates began to creep up slightly until they jumped at the end of the summer when Fed Chair Bernanke warned that the Fed might begin to taper their quantitative easing (pumping cash into the economy).

That day, we witnessed the largest single day rate increase we have ever seen – with rates jumping to 4.58%, the highest in two years. Although it was quite volatile, rates were still historically low compared to even a few years ago!

Janet Yellen nominated as new Fed chair

In September, after the Fed announced that they would, in fact, continue with quantitative easing, (NY Times: In Surprise, Fed Decides to Maintain Rate of Stimulus) rates began to decline again which is where we are now. We’re seeing lower rates compared to any other period of time except early this summer when they hit their lowest point.

On October 9, 2013, President Obama announced Janet Yellen as his nominee to replace Bernanke as the next Federal Reserve Chief. The general consensus is that this is good news for rates in the short term.

Based on her statements, Yellen will most likely continue the quantitative easing until the unemployment rate improves considerably. Of course, nothing is set in stone. Other economic indicators can throw all of this into flux. The markets are very unpredictable, especially with the current government shut-down and a looming debt ceiling crisis.

Considering a refi? Lock in Mortgage Rates now.

Currently we’re offering 30 year rates as low as 3.75% – with the low range between 3.75% and 4.25% depending on the loan program and qualifying factors.

Want to see at what rate you may qualify? Get a free instant rate quote: simply visit www.meridianhm.com/getrates. We’ve taken all the hassle from getting a quote – no waiting (and no pushy sales people) required!