Mortgage rates have had a great couple of weeks after jumping to multi-month highs at the beginning of January. By yesterday, they’d made it almost all the way back to their best recent levels. The same was true this morning, but things have changed since then. The bond market (which dictates rates) had its worst day in several weeks. This was at least partially in response to volatility in equities markets which helped bonds yesterday but hurt them today. When bonds lose enough ground during the course of a day, mortgage lenders can adjust their rate offerings with what’s known as a “mid-day reprice.”
Reprices can be for the better or worse. Today’s were worse, but the damage is far from severe–only unwinding a day or two of the recent improvement. The average mortgage borrower would likely still be seeing the same interest rates compared to yesterday with the only difference being slightly higher upfront costs (or lower lender credit). Purchase rates for top tier, conventional, 30yr fixed loans remain in the upper-middle 2% range and refi rates are closer to 3% depending on the scenario.
NOTE: If you can find a news article today that doesn’t have to do with Game Stop, you may see something about mortgage rates being lower today. The article in question is almost certainly citing Freddie Mac’s weekly survey data which is essentially a “Monday vs Monday” measurement that’s unfortunately reported on Thursday morning. In other words, yes, Monday’s rates were indeed lower than the previous Monday, but things have changed since then, albeit not by much.