Early Read on Existing Home Sales in October

by Calculated Risk on 11/17/2023 01:16:00 PM

Today, in the CalculatedRisk Real Estate Newsletter: Lawler: Early Read on Existing Home Sales in October


Chart of the Week:  Mortgage Rates Follow MBS Yields, Not 10-Year Treasury Yields

For an explanation of “why”, see Lawler: Update on Mortgage/Treasury Spreads

From Tom Lawler:

Mortgage Rate vs. MBS Spread30 Year FRM: Optimal Blue Conventional Conforming 30-year Fixed-Rate Mortgage where LTV<=80% and FICO>740.

CC MBS Yield: Yield on notional par agency 30-year MBS

Note: there is some “spurious” volatility in the mortgage spreads because Optimal Blue measures rate lock activity throughout the day while the MBS and Treasury yields reflect late afternoon yields.

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