What financial indicators are used to determine adjectives mortgage interest rates?
I want to know if the rates are going to go down and if so prove it!
Answers:
Watch the 10 year US Treasury Bond and LIBOR rate.
Most mortgages are tied to one of these two. As bond prices change day after day, so do interest rates.
Daily Treasury Yield Curve Rates
http://www.ustreas.gov/offices/domestic-…
LIBOR
http://www.bankrate.com/rates/interest-r…
What is LIBOR
http://www.investopedia.com/terms/l/libo…
How Do Bonds Affect Mortgage Interest Rates?
http://useconomy.about.com/od/bondsfaq/f…
Mortgage Rates Jump: 6 Things You Need to Know
http://www.usnews.com/blogs/the-home-fro…
cut:
Note the FED does NOT lend money to the Federal gov. The US gov sells US Treasuries in the public marketplace to borrow money.
About the FED
http://www.federalreserve.gov/pf/pf.htm Source(s): --- Finance & Risk Management Consultant
--- 20 years in the markets (see bio for more. make a payment me to view post history)
Based on the rates charged by the Federal Reserve Bank to the Federal Government for all the money printed and loaned to them.
The more money printed, the smaller amount value of the dollar and they increase interest in decree to make up the loss in importance.
If the dollar buys less today than it did yesterday, interest increases enough to to cover the difference.
It's resembling asking for a raise because living cost increased. If you don't get the incline, you have to live on less.
The Federal Reserve Bank doesn't do that. They enjoy the power to get their raise.
Mortgage Interest have risen by 1% since a year ago.
I expect it to increase as government spending increases.
Related Questions:
How does the long residence fixed interest rate mortgage affect the housing open market? contained by the US & UK?
Do mortgage interest rates swing by state?
What is the average Interest rate for a mortgage today?
What percentage of U.S. adjustable rate mortgages are base on LIBOR?
Does anyone know what the current FHA mortgage rates are?
Answers:
Watch the 10 year US Treasury Bond and LIBOR rate.
Most mortgages are tied to one of these two. As bond prices change day after day, so do interest rates.
Daily Treasury Yield Curve Rates
http://www.ustreas.gov/offices/domestic-…
LIBOR
http://www.bankrate.com/rates/interest-r…
What is LIBOR
http://www.investopedia.com/terms/l/libo…
How Do Bonds Affect Mortgage Interest Rates?
http://useconomy.about.com/od/bondsfaq/f…
Mortgage Rates Jump: 6 Things You Need to Know
http://www.usnews.com/blogs/the-home-fro…
cut:
Note the FED does NOT lend money to the Federal gov. The US gov sells US Treasuries in the public marketplace to borrow money.
About the FED
http://www.federalreserve.gov/pf/pf.htm Source(s): --- Finance & Risk Management Consultant
--- 20 years in the markets (see bio for more. make a payment me to view post history)
Based on the rates charged by the Federal Reserve Bank to the Federal Government for all the money printed and loaned to them.
The more money printed, the smaller amount value of the dollar and they increase interest in decree to make up the loss in importance.
If the dollar buys less today than it did yesterday, interest increases enough to to cover the difference.
It's resembling asking for a raise because living cost increased. If you don't get the incline, you have to live on less.
The Federal Reserve Bank doesn't do that. They enjoy the power to get their raise.
Mortgage Interest have risen by 1% since a year ago.
I expect it to increase as government spending increases.
Related Questions: