For the week ending 06/27/2024, mortgage rates decreased 1bp to 6.86%.
For a $100,000 loan, the monthly payment decreased $1.00 to $656/mo or $0.02/day.
Mortgage rates decreased 1bp, while the 10-Year Treasury rates increased 4bp for the week ending 06/24/2024. The net difference resulted in a 5bp decreased in the spread to 257bp. With the historical spread being 168bp, there now exists a ‘safety cushion’ of 89bp above the historical spread.
The historic spread between the 10 Year Treasury and mortgage rates is 168pb (see green line, right axis) and currently is 89bp above historical norm.
Bill Knudson, Research Analyst LANDCO ARESC