Drive behing the Market? Status Fad?

[MAU]

Here's an interesting look at where traders think rates are headed. The three month Banker Acceptance rate is what drives variable interest rates (add about 2% to get the variable rate that the banks offer). The chart includes where the futures markets are currently trading three month rates for the specified periods in the future.

Note the jump after the Reserve Bank of Australia lifted its rates. It seems traders think the BoC will follow with a rate hike soon.

http://www.global-view.com/forex-trading-tools/rates/caratesa.html

The traders could be wrong of course, but at least it shows you where the real money bets are being placed.

 

[lordmandeep]

For line of credits (secured), most banks are giving...


Their prime rate plus 1%...


When the interest rate went below 3% the banks were going, "Holy crap we will be getting only 2.25%!!, Screw that"

 

[Torontotony]

Just a heads up to anyone closing within the next 120 days, RBC announced today it will be bumping its 4 and 5 year fixed rates by .35% effective immediately. Other lenders are sure to follow on Tuesday.

If you have something closing in the next 120 days or are contemplating that refinance, send me a PM and get your applications in asap.

Tony D'Avino
tdavino@mortgagealliance.com

 

[TrickyRicky]

"Just a heads up to anyone closing within the next 120 days, RBC announced today it will be bumping its 4 and 5 year fixed rates by .35% effective immediately. Other lenders are sure to follow on Tuesday."

That is an appropriate comment. The rest is a sales pitch and (from my understanding) inappropriate content for this site.

 

[Torontotony]

All the bigs have moved on rates, except for one. There are a couple other lenders who have held their rates.

Again, if you are closing in the next 120 days, or contemplating a refinance, contact your mortgage broker and get your applications in before midnight tonight.