Interest rates are lower today in spite of positive economic news, due to Hurricane Sandy blasting up the East Coast.
The stock market will be closed again tomorrow, making this the first weather-related closure since 1985.
Because borrowers continually ask for predictions about where rates are headed, I’d like to point out (again) that no one can accurately foretell interest rates 100 percent of the time. Unexpected events such as storms, earthquakes, war, and even events in other continents can throw off logical predictions.
The only guarantee you have of a certain interest rate is when your rate is locked. A rate lock is a commitment from an investor to loan a specific amount of money on a certain property address for a particular price/rate. Please notice that a rate lock is tied to a certain property address. Therefore, you cannot lock in your rate before you have a signed purchase contract. For those refinancing, you can lock in faster as you already have your address secured.
We pray for those who are in the path of the storm. We pray for their safety.