Interest Rates Rise .2%


Rates have trended higher over the past 7 days. 

The Mortgage Backed Security market started trending down on Thursday 8/10/23.

The MBS market ended the day down -53 bps on Thursday, -27 bps down on Friday, and -31 bps down on Monday.

When the MBS market is down, interest rates go up.

See MBS market substantially down in chart below.

Overall, interest rates have gone up almost .2% since our last update.

According to Mortgage News Daily, the average interest rate across the country is 7.24% for a well-qualified conventional borrower.

Below is Green Home Loans rate sheet today.

There are a lot of characteristics that go into a mortgage rate – credit score, loan to value, loan amount, costs, etc.

Please call us to go over your specific scenario so we can price your loan out accurately.

The start of the interest rate spike came on the heels of Consumer Price Index (CPI) inflation report.

Inflation rose .2% from 3% to 3.2%.

This change was expected since the overall inflation figure is made up by adding 12 months together.

The month that fell off a year ago had a negative .1% monthly figure.  The figure that replaced it was +.1%.

Rates have now hit the highest levels since November 2022. 

We still believe they will fall – not if, but when.

Mortgage News Daily agrees with us:

“Past precedent suggests a near certainty of good opportunities to refinance to lower rates in the future. 

The only uncertainty is how long you’d have to wait.

Some forecasters see rates beginning to move lower before the end of 2023, while the more pessimistic crowd thinks we could be stuck in a similar range through most of next year. 

One thing’s for sure, rates almost never stay that flat for that long.”


Keeping Current Matters just released their August 2023 monthly market report.

Click below for the audio recording:

Here are my favorite slides from the report.

This slide shows how many consumers were pessimistic about home prices at the end of 2022 and beginning of 2023.

Housing prices are on pace to have a good appreciation figure for 2023 in most markets.

New listings were expected to skyrocket in 2022.  After initially surging in the summer of 2022,

Housing inventory started to drop.  Consumers were afraid that a rise in rates could cause a housing market crash and were anxious to get their home on the market.

Many people ended up taking their home off the market and new inventory began to slow dramatically.

Housing has been underbuilt for over 10 years and most consumers with low rate mortgages don’t want to sell. 

There is not enough supply for home prices to drop considerably.

Many consumers and experts were wrong.

See original real estate price forecasts and updated forecasts.


And lastly, here are the appreciation figures over the last 20 years in the top 20 cities.