For the week of March 30, 2020
Recap of last week: Rates remain low
Mortgage rates remained at levels well below the average seen over the last decade. Rates did vary from day to day, but were not nearly as volatile as the previous week.
Mortgage Rate Forecast: Rates likely to remain low
Mortgage rates are likely to remain low this week, but will continue to fluctuate from day to day, and sometimes within the same day. However, the mortgage industry is being affected by the COVID-19 crisis, with some rates and programs changing suddenly and without notice. In some cases these changes could affect qualifying, so it is important to stay in close contact with your local mortgage professional who can help guide you through the process and getting a great rate.
What's affecting rates this week:
- Liquidity constraints: Turmoil in the financial markets is preventing rates from improving much from here in the near term.
- Social distancing: The COVID-19 pandemic has caused mortgage lender staff to work from home, and slowed down appraisals, title, and closing agents.
- Capacity: Lenders are still struggling with large volumes, and higher rates could reflect that.
