Fed cuts rate to zero

[HugoStrange]

4 minutes ago, karna11 said:

I agree, ikkada naku oo logic ardam raledu ippudu fed 200 bn pump cheste MSB loki , how mortogage prices goes down 

Please explain?

last week bonds sell off happened (mortgage security bonds ), there was no one to buy them, so thakkuvaki konnaru. So now dantloki 200bn petti Fed bonds konte demand and supply senario lo rates peruguthai bonds vi (ekkuva petti konte returns thakkuva kada so interest rates thagguthai), appudu interest rates goes down.

Also as there is huge demand for refinance there is not enough cash to refinance, demand ni thagginchanu kuda ee lenders rates ekkuva chepthunnaru. 

[HugoStrange]

The Fed on Sunday said it will begin buying $200 billion of mortgage-backed bonds, a move that will stabilize and likely lower mortgage rates, which moved sharply higher last week.

[karna11]

1 minute ago, HugoStrange said:

The Fed on Sunday said it will begin buying $200 billion of mortgage-backed bonds, a move that will stabilize and likely lower mortgage rates, which moved sharply higher last week.

Yehaa, inkaa refinance vi flooded avuthyi emoo

[HugoStrange]

https://www.cnbc.com/2020/03/15/coronavirus-mortgage-rates-will-fall-again-after-latest-fed-cut.html

[jefferson1]

On 3/15/2020 at 3:20 PM, jefferson1 said:

today rates from wells

 

30-Year Fixed Rate	4.000%	4.128%
30-Year Fixed-Rate VA	3.875%	4.243%
20-Year Fixed Rate	3.875%	4.051%
15-Year Fixed Rate	3.250%	3.454%
7/1 ARM	3.500%	3.443%
5/1 ARM	3.500%	3.380%

One week ki rates perigayi

 

30-Year Fixed Rate	4.125%	4.232%
30-Year Fixed-Rate VA	3.875%	4.232%
20-Year Fixed Rate	3.875%	4.008%
15-Year Fixed Rate	3.375%	3.543%
7/1 ARM	3.750%	3.542%
5/1 ARM	3.750%	3.459%

above are purchase rates, not for refinance