The beautiful thing about a Bond Chart is that it tells you where Bond prices have been and where Mortgage rates have been. Can they tell the future? Sometimes. Here's how.
I study the bond charts all day long and I understand there are economic data or world news that negatively or positively influences the prices of bonds. If bond prices go up, rates go down. And vice versa, if bonds go down, rates go up.
So back to "how can the bond charts tell the future"? The answer is simply this: History repeats itself. You either love or hate history and it's the same with watching bond charts. You either love it or you hate it and I love bond charts!
Because I watch Bonds all day long, I get familiar with floors of support and ceilings of resistance and can advise with a learned level of confidence a direction a client might consider and whether they should float or lock their interest rate.
Top three: All time most viewed
Even with my 20 years in the mortgage business, I double check all guidelines because they are continually changing. I had a call from som...
FHA loans in 1991: When I became a mortgage loan originator in 1991, I couldn't believe that there was a loan product which allowed all...
Know How To Recognize A Good Mortgage Rate Mortgage lenders are often asked if there is a best time of day, day of the week, or period of...