What is the one (or two) most important number/trend to track when trying to predict mortgage interest rates?
Answers | 2
By far, the most important market to track will be the bond market. This is where mortgage backed securities are bought & sold and your greatest predicter of rates will be the ebb & flow of bond yields & prices (based on money flowing in and out of bonds). The most common secondary inidcator to watch is the 10Y treasury yield. What I would highly recommend is that you work with a loan officer who, in real-time, watches these markets closely throughout the day. Although there is no crystal ball, your loan officer will be much better equipped to lock in the most competitive rate for you by monitoring these markets.