April 6, 2018 by Leave a comment

We made it to Friday once again. The good news for borrowers is that mortgage rates are improving right now. This makes right now a great time for anyone looking to purchase or refinance to lock in a rate. So give us a call or fill out our simple online form to get started. Read on for more details.

Where are mortgage rates going?                                   

Rates fall after a disappointing jobs report

Well, we persevered through the week and arrived at Friday once more. The big news today in the market is the Employment Situation for March (a.k.a. the monthly jobs report).

This report is almost always once of the most influential reports every month, and this time around was no different. The headline reading in today’s report showed that 103,000 jobs were added to the U.S. economy in March.

That’s a big miss from the 175,000 that analysts had expected. It’s even below the low end range of 112,000. It’s not all bad, though, as average hourly earnings did hit the expected mark with a 0.3% monthly rise.

Most economists aren’t too troubled by the headline reading either, despite it being the lowest in six months. They see it as a one-off dip that isn’t reflective of the long-term trend.

Nevertheless, that isn’t stopping money from going out of stocks and into bonds, pushing down Treasury yields. The yield on the 10-year Treasury note is down about three basis points to 2.80% today.

Mortgage rates typically move in the same direction as the 10-year yield and are similarly a little lower as we head into the weekend. As we saw in the Freddie Mac Primary Mortgage Market Survey (PMMS) yesterday, rates improved for the second straight week this week.

Here are the numbers:

  • The average rate on a 30-year fixed rate mortgage fell four basis points to 4.40% (0.5 points)
  • The average rate on a 15-year fixed rate mortgage fell three basis points to 3.87% (0.4 points)
  • The average rate on a 5-year adjustable rate mortgage fell four basis points to 3.62% (0.4 points)

Here is what the Freddie Mac’s Economic and Housing Research Group had to say about rates this week:

“After dropping earlier this week on trade-related anxiety in financial markets, the benchmark 10-year Treasury stabilized on Wednesday, but at a level slightly lower than from the start of last week. Mortgage rates followed and fell for the second consecutive week; the U.S. weekly average 30-year fixed mortgage was 4.4 percent in our survey this week. Though rates on the 30-year fixed mortgage are up 0.3 percentage points from the same week a year ago, a robust labor marking is helping home purchase demand weather modestly higher rates. The Mortgage Bankers Association reported in their latest Weekly Mortgage Applications Survey that the Purchase Index was up 5 percent from a year ago indicating that this spring is on track for a modest expansion in purchase mortgage activity.”

Rate/Float Recommendation                              

Lock now before rates increase significantly 

With mortgage rates moving lower to end the week right now is a great time to lock in a rate on a purchase or refinance.

Long-term, rates are still expected to rise so borrowers who act now are likely going to get the better deal.

It only takes a few minutes with our online mortgage builder or a quick phone call to one of our loan experts to get started.

Learn what you can do to get the best interest rate possible.  

Today’s economic data:                                       

Monthly Jobs Report

  • See above for details.

Notable events this week:                


  • PMI Manufacturing Index
  • ISM Manufacturing Index
  • Construction Spending
  • Fedspeak


  • Fedspeak


  • ADP Employment Report
  • Fedspeak
  • PMI Services Index
  • Factory Orders
  • FOMC Minutes
  • ISM Non-Mfg Index
  • EIA Petroleum Status Report


  • Jobless Claims
  • International Trade
  • Fedspeak


  • Monthly Jobs Report

*Terms and conditions apply.

Carter Wessman is originally from the charming town of Norfolk, Massachusetts. When he isn’t busy writing about mortgage related topics, you can find him playing table tennis, or jamming on his bass guitar.

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