Holy Cow - What a huge shift in Rates

I was shocked this morning to see the large jump in mortgage rates. We had a few mid day increases yesterday but nothing to be too concerned about in such a volital market.

But when the market opened this morning at close to -700 down again the 10 year shot up about 11 basis points to 3.87. That is a huge jump in such a short period of time.

Today the rates are about .75 basis points higher in rate than you could have gotten yesterday morning at the open.  So let me share share with you the difference.

Yesterday morning you could have gotten 5.75% with about <1.375> in YSP back to the broker for doing your loan. Today as I write this blog you would need to move up to 6.875 to get that same <1.375>% in YSP to the broker.  Here is different way of saying it:

Yesterday morning 30 year fixed: 5.75%  @  <1.375> YSP back to the broker.

This morning 30 year fixed: 5.75% @ 1.30% in Discount points to get that same rate.

HOLY COW THAT IS BIG! The same thing happened on the 5 year fixed today.

October 10, 2008