For the week ending 9.28.23, mortgage rates increased by 12bp to 7.54%.
For a $100,000 loan, the monthly payment increased by $8 to $702 per month or $0.27 per day.
Mortgage rates increased 12bp while the 10-Year Treasury rates increased 10bp for the week ending 9/28/23. The net difference resulted in a 2bp increase in the spread to 295bp. With the historical spread being 168, there now exists a ‘safety cushion’ of 127bp above the historical spread.
The historic spread between the 10 Year Treasury and mortgage rates is 168bp (see green line, right axis) and currently is 127bp above historical norm.
Bill Knudson, Research Analyst LANDCO ARESC