Nebraska Mortgage Rates | January 14 2022

January 14, 2022
Michael Petrovich
Uncategorized

Weekly Rate Update

Rates fluctuate every day and are based on several factors. For an exact rate quote, submit your request HERE for a free evaluation.

PMMS 1/13/2022

The average 30-year fixed rate mortgage increased to 3.45% during the week ending Jan. 13, up from 3.22% the week prior. This is the third week of mortgage rate increases, after the 30-year fixed rate fell to 3.05% on Dec. 23 amid fears of the Omicron variant.

Rates rose across all mortgage loan types, according to Sam Khater, Freddie Mac’s chief economist. Driving the increase is the expectation of a faster than expected tightening of monetary policy in response to continued inflation caused by disruptions in labor and supply chains.

“The rise in mortgage rates so far this year has not yet affected purchase demand, but given the fast pace of home price growth, it will likely dampen demand in the near future,” Khater said.

MBA 1/12/2022

Mortgage applications climbed 1.4% for the week ending Jan. 7, 2022. The growth was buoyed by a 2% increase in the trade group’s seasonally adjusted purchase index. On the refinance front, the trade group’s refi index dipped by 0.1% from the previous week, coming in 50% lower than the same week one year ago.

Joel Kan, associate vice president of economic and industry forecasting at the MBA, said in a statement that the increase in mortgage rates is curtailing refinance activity.

“Mortgage rates increased significantly across all loan types last week as the Federal Reserve’s signaling of tighter policy ahead pushed U.S. Treasury yields higher,” Kan said. “Rates at these levels are quickly closing the door on refinance opportunities for many borrowers.”

As evidence, the report found that the refi share of mortgage activity fell to 64.1 % of total applications from 65.4% the previous week. The trade group noted that refi applications are at their lowest level in over a month, while conventional refi applications were at their lowest level since January 2020.

Contact us…We can help!