Wow, if you are locked in to a rate right now, it seems you have house hunting competition in the pipeline. The good news for buyers overall it seems is that this slight rate increase may be a temporary reaction to a surge in applications. It could even be just an advertising measure to slow applications down according the the article.
Of course there are many rare factors pressuring markets right now, not the least of which is the confusing impact of this particular strain of Corona Virus/COVID-19 that has even an entire country on lock down. Some articles attributed this latest decrease in interest rates to the higher demand in bonds which result in lower yields and ultimately lower lending rates, all likely based on Corona panic effect on Wall Street.
Another aspect of this confusing soup of market factors is that inventory is down in the vast majority of major US cities on a year over year basis. The near future number of potential home buyers is increasing. And what impact will this current state of affairs have on contractor supplies? Flooring, drywall, lumber, metal goods, roofing materials, HVAC, nails, epoxies, paint, insulation, and on and on.......much of these items are imported from Asia.
The widely accepted factors at this moment that we do know are: there are a lot of home buyers filling out applications according to the above article, inventory is not in abundance, and rates (whether they spike a tad this week in reality or only in advertising) are very low. It may still be a great time to keep pushing towards the goal of making that move despite the craziness around us. What a tight rope to walk, pursue living as normally as possible but use wisdom.
