For the week ending 3.13.25, mortgage rates increased by 2bp to 6.65%.
This past week, for a $100,000 loan, the monthly payment increased from $641 to $642, or $0.04.
Mortgage rates increased by 2bp, while the 10-year Treasury rates remained unchanged. The spread increased by 4bp to 238bp, with the historical spread being 168bp. This creates a “safety cushion” of 70bp above the historical spread.
The historic spread between the 10-year Treasury and mortgage rates is 168bp (see green line, right axis), and it is currently 66bp above the historical norm.
In July 2024, this spread was 150bp. Mortgage rates have increased more than the 10-year Treasury rates.
Bill Knudson, Research Analyst LANDCO NEXA