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Do mortgage rates hit their lowest in summer and then go up from there near Christmas time?

My brother in law tells me that mortgage rates always go down in summer since most people buy homes in summer. Then they go back up near the holidays . Is this true? by RafaelJ12 from , . Aug 12th 2009 Reply


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#0 ranked lender in

This is not true, there is no way to predict where mortgage rates will go at any time of year. The seasons do not have an impact on rates, terms, or fees.

Aug 13th 2009
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#1 ranked lender in

No, that is incorrect. In general it is difficult to determine to what rates will be in the future. However there is a phrase on the street called "The Santa Clause Rally" which can have a negative affect on mortgage rates causing them to go higher during the last week in the year. By how much is unknown.

Aug 13th 2009
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#0 ranked lender in

Hi, my name is Luis Angel. I work with HCC bank. Actually that is not all true. It can be the reverse as well. All depends on the financial circumstances of the nation's economy. As you may know, the interest rates are based on the index, such as the treasury bills.

Aug 13th 2009
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Al and Cindy Lane (Al Lane)
#5 ranked lender in Washington - 35 contributions

No. Rates usually follow the 10 yr Treasury Bond Market and can be very volitille at times. Especally in today's market.

Aug 13th 2009
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