For the week ending 04/11/2024, mortgage rates increased 6bp to 6.88%.
For a $100,000 loan, the monthly payment increased $4.00 to $657/mo or $0.13/day.
Mortgage rates increased 6bp, while the 10-Year Treasury rates increased 25bp for the week ending 04/11/2024. The net difference resulted in a 19bp decreased in the spread to 232bp. With the historical spread being 168bp, there now exists a ‘safety cushion’ of 64bp 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 64bp above historical norm.
Bill Knudson, Research Analyst LANDCO ARESC