Bank of America’s (NYSE: BAC) mortgage rates have stabilized over the last few weeks with 30-year fixed rate mortgage rates hovering around 4.8%.
During the month of January, rates have remained between 4.8% and 5%. This stability is relatively unusual considering the turbulence of the overall market and newly released conflicting economic indicators.
Bank of America has done an excellent job of positioning themselves in the mortgage market during the last few months through a massive online campaign and various traditional marketing measures. Bank of America has a big chunk of the mortgage market and will likely continue with that dominance in the near future.
Although mortgage interest rates have increased slightly since last summer, now is still an excellent time to refinance your mortgage if you have an adjustable rate mortgage or a fixed-rate mortgage above 5.5%.
Although rates have been steady, many analysts are expecting them to increase during the next few months as the Federal Reserve is planning on ending their support of the mortgage market via ceasing their mortgage-backed securities purchase program. The end of this program by the Federal Reserve will likely push rates up by 0.5-1% over the course of a month or two. Because of this reason, you should refinance your mortgage now if you plan on doing so in the immediate future.
