U.S. Mortgage Rates Jump to Highest Since December

It's the mkt saying WAKE THE F' UP! Nothing like the high cost of money to kill any LT purchases.....

Apt-Boy.... what happens to NYC RE if 15yrs go to 6%, 7% or 8% and there is no NINJA loans to make income grow?

and fannie 15y coupon +23bps today and +60bps since mid-may... oops wonder if all those offers made in may will close

General rule: Every 1% increase in interest rate should equal a 10%-14% reduction in price of a base rate of 6%

5.2% is very low, so stop bitching. When I got a mortage in 2005, my rate was 5.6% and in 2005 prices were RISING so 5.2% alone is not going to cause prices to fall. Now please, get back to doing whatever you were doing. Nothing to see here...

Good news about how things are really JUST really crappy instead of REALLY REALLY crappy = housing will go up.

Bad news about how things are really JUST really crappy instead of REALLY REALLY crappy = housing will go up.

Any news about any topic at any time = housing will go up.

"Another problems facing the housing market is that prime mortgages are beginning to reach high levels of default rates the way that subprime mortgages did two years ago. The supply of homes being taken back by banks is continuing to rise."

http://247wallst.com/2009/06/04/mortgage-rates-at-level-that-could-stall-any-housing-recovery/#more-36673

not an issue yet. Should treasury market rollover, currency crisis, or other that sends lending rates surging to say 7% or more, then there will be a shock out there. Fed will fight it best they can by buying treasuries, print more money. This is the unintended consequence I discuss often on UD. Rogers and others had great debate on this today. Putting video link up now on ud