Since mortgage rates had increased so rapidly late June shooting from 2.89% all the way up to as high as 3.54% for a 5 year fixed within a week, the bond yields (the determining factor for fixed mortgage rates) had started to trend downward from July 5th. The drop was significant and large enough for most mortgage lenders to drop their fixed mortgage rates. The large spike in the yields late last month was so steep and came so fast it has left mortgage lenders a little more cautious and they aren't as quick to respond by dropping their rates this time around. It was starting to get to the point there there was significant downward pressure on the fixed mortgage rates and if the trend continued any longer, we most likely would have seen banks and other mortgage lenders drop their rates.
Unfortunately, bond yields started trending upwards once again on the 22nd of July relieving this downward pressure leaving fixed rates 'stable' at the moment. We would need to see a reverse in this for any rate drops and it would still have to drop a significant amount for it to hit the record lows we had up until late June.
Historically speaking, fixed mortgage rates are still at extremely low levels, but that can change at any time. THere are currently 5 year fixed mortgage rates as low as 3.19% as of today.
You can follow the bond yields yourself here:
http://www.investing.com/rates-bonds/ca ... bond-yieldHope this was found to be helpful!
Paul
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Paul Meredith
Mortgage Broker
CityCan Financial (est 1976)
416-409-8009
http://www.easy123mortgage.capaulm@citycan.comLic#10532
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