From a newsletter I received today from Countrywide, the Mortgage 101 question was “What causes mortgage rates to constantly change?” Here’s what loan officer Billy Hamburg said,
Unfortunately, there is no easy answer to this question. As a general rule, mortgage rates go up and down based on Mortgage Bonds, not the 10-year Treasury Note. However, there are many more factors involved also such as inflation, international economics, natural disasters and many more. Money is a worldwide commodity and any major event in the world that effects the economy can move interest rates up and down. Rates can move up and down, day to day and even hour to hour.
If you’d like more information, you can reach Mr. Hamburg at (615) 279-7905 or visit his website.
