Currently floating your rate? Be careful!

In this morning’s ‘mortgage rate update’ I warned that if mortgage-backed bonds (MBS’s) failed to close back above technical layers of support then rates could be headed higher.  It’s not a foregone conclusion yet but MBS prices closed just below support for the second-straight day.  From a technical perspective this is not a good sign.  More often than not rates get pushed higher when this takes place.  Therefore, if you don’t have an interest rate locked in at this point you might want to consider doing so.