Mortgage Rates: May 12th, 2022

For the week ending 5.12.22 Mortgage rates barely increased 3bp to 5.53%.


For a $100,000 loan, the monthly payment increased by $2 to $569, equal to $0.06 a day.


Rates rocket up and feather down. The historic spread (aka difference) between the 10 Year Treasury and mortgage rates is 168pb (see green line)


At the start of 2022 mortgage rates have increased FASTER than the 10-year Treasury. This past week the 10-Year decreased by 21bp while Mortgage rates increased by 3bp thus a 24bp change in the spread and remaining at 101bp above the historical norm. That is a large spread but given how quickly rates have recently risen, pricing personnel will want to “hold onto this cushion” to be safe against unexpected rate increases.


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