Indianapolis mortgage rates today overall are down, and now would be a good time to look into refinancing. Some of our loan programs are down roughly one eighth of a percent from where they were last week. The stock market overall is also unchanged from last week at this point, but it was definitely up and down throughout the week.
Rates dropped at the fastest they have dropped in over a month yesterday after the Federal Reserve announced earlier this week that they would not be increasing interest rates. Now lenders are reacting to this announcement, but they haven’t dropped as low as they could go based on how high mortgage-backed security bonds are being traded.
Essentially what’s going on is lenders are considering lowering their rates but they need to be certain that current market improvements will stay steady. Which makes sense. But still, Mortgage News Daily reported that yesterday was the best day for mortgage rates since Brexit.
Depending on your situation, now might be a great time to lock in your rate. But it may also be wise to wait or float. Only if you’re comfortable with the risks, which include having to lock in at a higher interest rate than what we’ve currently got going in case the market doesn’t do what we think it will do. Welcome to the mortgage broker’s dilemma!
The recent Bank of Japan policy announcement may also affect the markets worldwide. But then again it may have absolutely no influence whatsoever. You just never know.
Jim DeCamp’s Take
The gains we saw this week are being added to continually by bonds. Considering the dissipation of treasury debt yesterday, I’m a fan of the float. No need to lock. If you look at bonds, they’re on the way to changing the recent negative tides we’ve seen. If this happens, it should make for better rates and lower prices from lenders.
Today’s Best-Execution Indianapolis Mortgage Rates Today
- FHA/VA – 3.25%
- 5 YEAR ARMS – 2.75 – 3.25% depending on the lender
- 15 YEAR FIXED – 2.75%
- 30YR FIXED – 3.375–3.5%