Apr 01, 2015

March 2015 Mortgage Interest Rates

- originally posted March 1, 2015 -

Mortgage interest rates rose during February on a stronger than expected jobs report. This all translated into a slight rise in interest rates from the month prior. Note: There were upward revisions to the December and November jobs reports, too.

The rise in employment numbers also raised some concerns about increasing wages, that can lead to inflation (inflation is the arch enemy of mortgage rates). Federal Reserve chairman, Janet Yellen, downplayed speculation about the Fed raising interest rates to offset inflation though, saying that inflation is not currently a threat.

The US economy hasn't yet reached any sustained economic growth, particularly in the housing market as a whole, and many key economic sectors still remain weak. And with the continuing weaknesses in the global economy, the Fed won't raise interest rates as that may derail our domestic growth and recovery. For now, mortgage interest rates will probably continue to fluctuate moderately, and within the range we've seen over the past 6 months.

Till next month,

Michael Dagner

Michael Dagner is a real estate professional in Denver, Colorado.