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Mortgage Rates at Crossroads Ahead of Jobs Report

Mortgage rates began the day slightly higher, on average, but managed to make it back in line with yesterday's levels by the afternoon.  Some lenders are in slightly better shape.  Some are worse.  In either case, the differences between today and yesterday would be minimal--only affecting the closing cost/credit side of the rate equation (as opposed to changes in the rate itself.  Most lenders continue quoting conventional 30yr fixed rates in a range of 3.625% to 3.75% with the latter gaining significant traction over the past few days.

Tomorrow brings the most important economic report of any given month: The Employment Situation (aka "nonfarm payrolls" or simply, the "jobs report").  As always, the jobs report carries significant market moving potential, for better or worse.  At the moment, we're in a precarious position when it comes to potential volatility.  With rates already at a crossroads on the upper edge of their all-time low range, a big move higher would risk confirming a move into the higher range seen in late 2015.  In other words, if we go higher here, it could be harder to get back. 

This Daily Mortgage Rate Update is provided in partnership with Mortgage News Daily.