10 yr treasury update: down from peak
Back on June 12 as 10 Year Treasury Bills soared to over 5.25% carrying corresponding mortgage rates higher, I suggested paying close attention to which direction rates might go. Would they either continue going up, stabilizing at current levels or trend down? Happily, rates have come down on Treasuries to 5.0% which is great news for anyone considering their mortgage financing options.
The above chart, courtesy of Big Charts will clearly show the big upward move from early May, the peak hit on June 12 and the corresponding decline in rates to right at 5% today.
This is good news for anyone shopping for a mortgage and I am still seeing 30 year fixed mortgage rates at 6.375% which is still a historically low rate. Obviously, we have been spoiled by the very low rates we have been able to obtain in the past few years to consider 6.375% to be a high rate. One more quick point, the difference between an adjustable rate and a fixed rate today is not that great so if you plan to be in your home for more than a few years, consider the security and peace of mind by locking in a fixed rate mortgage.