Respectfully on this one you are way off. If you think my harping on the 10 year is any sort of slant then you are absolutely incorrect. My slants are generally evident when I discuss commission rebates. I am being 100% straight with you here.
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I have a fundamental disagreement with those who have always blamed the fed for the housing problem and I do believe I have posted that before. Most likely before you came on. I have always been amazed at the number of postings the board seems to ALWAYS get about how mortgage rates are running up and what is the fed going to do? I do agree that the easy money policy invoked by the fed didn’t help things but to me that policy did had no bearing on the interest rates offered by lenders. Once again, I have posted that opinion in opposition of others awhile back.
It is just my opinion but I have yet to ever see a rate sheet that is delivered from a lender that moved because of the feds actions. They are (to the best of my knowledge) always been based on the bond yields.
Now, I am not smart enough to debate the effects of easy money injected into the economy and the effects of inflation, and asset inflation. This I believe to be true but cannot argue it either way. I simply INSIST that longer term bond yields drive the mortgage rates. Nothing more, nothing less. If more people knew that, if more people understood that, then they would all be better off.
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So like I said, I do very much disagree with you on this point. I have always held the topic of bond yield to be ONE OF THE MOST pertinent aspects to real estate and it always should be. The fact that most people don’t watch it like a hawk continues to amaze me so yes I harp on it now, have harped on it in the past, and will continue to harp on it every time someone else blames the fed for high mortgage rates or when it moves significantly.
I think information like that would be quite helpful to newcomers.
SD Realtor
ps – sorry farbet for drifting off topic but I wanted to respond and respond publicly. Rus if you like please go ahead and email me at [email protected] or post yours and I can email you.
