Interest Rates

Do you (or someone you would refer to me) want to deal with a person who does not realize how the whole mortgage interest rate thing works? I don't want anyone to think I know what the rate tomorrow will be. But in the short termI would like to be able to advise you if it is it a good time to lock in a loan. I would first tell you that I can probably only give insight for what might happen in the next few hours. Things are even more complicated since the Federal Government is trying to manipulate the market with their purchases of MBS (that is mortgage backed securities). I would first think back on the economic news of the day. If it was upbeat, that would be an indication that rates would increase. If people are buying stocks they are usually selling bonds and vice versa. Then I would check my sources for the movement of the MBS. Most people are told that long term rates follow the 10 year bond. That is not the best indicator but with this and a lot of other info, at the end of the day, it is anyone's guess. I almost always tell someone that if they are happy with their numbers let us lock the rate. I have seen transactions totally slip away and people not able to get their dream home because rates can be so volatile sometimes.