Salt Lake City’s Mortgage Market Update for Oct. 24, 2008

Today’s mortgage market in Salt Lake City will be a wild ride

The U.S. Stock Markets are sinking this morning after heavy selling took place in the Asian markets overnight and in Europe this morning. The U.S. Dollar is gaining some value back against foreign currencies because the U.S. is further along in it’s economic downturn than the foreign markets are.

The sell-off in stocks has done nothing to help Mortgage Bonds though, even though usually it does.  Usually money flowing out of stocks goes into bonds, and visa-versa.  So rates could go up as Mortgage Bonds have fallen below their 200-day moving average this morning.

Some good news? September’s housing report is out and existing home sales jumped 5.5% to a thirteen month high.  Also, oil prices are down $4 per barrel to $64. The strengthing of the U.S. dollar against the Euro is a big factor in this.

Right now, if you are closing a loan in the next 30 days, I recommend calling your loan officer and having them lock you right away.

For Salt Lake City, UT this morning’s mortgage rates are as follows:

30-year fixed: 6.000%

20-year fixed: 5.875%

15-year fixed: 5.625%

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