Last night, the United Kingdom shocked the world by voting 52% to 48% to leave the European Union. Though their Prime Minister David Cameron campaigned hard against the withdrawal, the British people decided that it was in their best interest to do so. This vote is seen as an anti-immigrant one as the UK wants to limit access to its borders. As a result of the financial uncertainly this has caused, MORTGAGE RATES WILL BE PLUMMETING today and at least in the short term.
So, what does this have to do with mortgages? Well, I am glad you asked! As the financial analysts and traders were blindsided by the result of the vote, the world stock markets are in turmoil. The British Pound is at a 30 year low v. the dollar and the Dow Jones is down 3% before the open. As a result, the yields on the 10 year US Treasury, which is one of the indexes that effects mortgage rates is down 22 points. That means that mortgage rates are going to open significantly lower today.
If you can act fast, there may be a unique opportunity to refinance and take advantage of what may be a significant “blip’ in the market. This could last for some time until the markets stabilize but there is no way to know. What I can predict with relative accuracy is that today, mortgage rates should be the lowest they have been for the year.
Contact me today and find out how you can save hundreds of dollars on your monthly payment by refinancing! Have a great weekend.