Rate Update June 11, 2008

Mortgage rates have increased .25%-.50% over the past couple weeks in response to increased focus on inflation in the financial markets. If you’ve been following ‘rate update’ closely then you know that we began sounding alarms back in the beginning of May when oil prices rocketed past $100/ barrel.

Consumers are beginning to hear that mortgage rates are moving higher which increases the likelihood that you will get asked why rates are moving higher. Please watch today’s you tube video for a concise explanation of what has happened in our economy that has pushed rates higher.

Current Outlook: neutral in near term with locking bias long-term