Mortgage Rates Today, Dec. 11 & Rate Forecast For Next Week

Mortgage Rates Today, Dec. 11 & Rate Forecast For Next Week
Written by Publishing Team

Mortgage rates and refinancing today

Average mortgage rates fell yesterday. But only in the smallest quantity that can be measured. And according to the Mortgage News Daily archive, traditional 30-year fixed-rate mortgages closed the same Friday as they did the previous Friday.

Unfortunately, Mortgage rates remain essentially unpredictable. Next Wednesday, a major two-day Federal Reserve meeting will report on some critical decisions for those rates. Of course, medical data related to the Omicron variant of COVID-19 may emerge, and it may have an impact as well. More on both below.

Find and Close Low (December 11, 2021)

Current Mortgage and Refinancing Rates

a program Mortgage rate April * change
Traditional fixed for 30 years 3.302% 3.222% without change
Fixed traditional for 15 years 2.525% 2.558% without change
Fixed 20 year old 3.154% 3.194% without change
Conventional fixed for 10 years 2.617% 2,683% -0.01%
30 Years Fixed FHA 3.289% 4.054% -0.01%
15 Years FHA Fixed 2.596% 3.242% without change
5/1 ARM FHA 2.295% 3.175% without change
30 years constant VA 3.223% 3.421% without change
15 years constant VA 2.877% 3.225% + 0.02%
5/1 ARM VA 2.507% 2.539% -0.01%
Prices are provided by our partner network, and may not reflect the market. Your evaluation may be different. Click here for a personal price quote. See our defaults rate here.

Find and Close Low (December 11, 2021)

Should You Lock Your Mortgage Rate Today?

Really, I can offer very little reliable guidance on when to lock your rate. Because we’re waiting for two things that could push mortgage rates either way. Read the What Moves Mortgage Rates section (below) for details.

This means that your decision is mostly due to your personal risk tolerance. If you are financially conservative, keep the price close. If you’re happy to gamble on lower prices, keep the float.

Being the cautious type, I changed my personal rate lock recommendations earlier this week. They are now:

  • a lock If closed in 7 days
  • a lock If closed in 15 days
  • a lock If closed in 30 days
  • a lock If closed in 45 days
  • a lock If closed in 60 days

However, with so much uncertainty right now, your instincts can easily become as good as my instincts – or better. So be guided by your gut and your personal risk tolerance.

What is driving current mortgage rates

Federal Reserve

The Federal Open Market Committee (FOMC) begins a two-day meeting next Tuesday (December 14) and will hold a press conference early Wednesday afternoon.

The Federal Open Market Committee (FOMC) is the monetary policy body of the Federal Reserve, and its statements are of great interest to markets in general, including those in which mortgage-backed securities (MBS) are traded. Mortgage rates are largely determined by Mohammed bin Salman.

Since March 2020, the Fed has been buying MBS at a rate of $40 billion per month. This keeps mortgage rates artificially low.

But, with inflation growing as a problem, the Fed announced that it would gradually reduce those purchases, starting last month. In a process called “tapping off”, it planned to reduce its monthly purchases to zero by mid-2020.

But yesterday’s CPI showed prices rising at their fastest rate since 1982. This puts pressure on the Fed to announce next Wednesday that it will cut its MBS purchases more quickly, possibly ending them in March or April. That day may also indicate that it will raise interest rates sooner than planned.

Of course, we don’t know what the Fed will say on Wednesday. But if you announce one or both of these measures, it will most likely raise your mortgage rates.


Markets seem to have shaken off their concerns about the Omicron variant, at least for the time being. But that does not mean that this chapter is over.

It is true that early signs suggest that the new variant may lead to health outcomes that are less harmful for most patients than its predecessors. But, if it spreads as quickly as seems likely, it may not matter much from the point of view of hospitalization and mortality rates. Because a small percentage of a huge number can be a very high raw number.

The UK has only days left in terms of infections. On Wednesday, Britain’s health minister told Parliament the country was preparing for one million Omicron infections by the end of this month, according to The Guardian. Allowing for population differences, and assuming a similar spread of disease, that could mean 5 million omicron cases here in early January.

If only a small percentage of these cases turn out to be serious enough to require hospitalization, that may still be enough to overwhelm healthcare resources.

The good news is that booster vaccines offer real protection against serious health outcomes from Omicron. But fewer than 50 million Americans have received their boosters. So we have a way to go to avoid the new alternative.

In the meantime, none of the data we received is completely reliable, as they are all based on small samples. And if Omicron turns out to have more serious economic implications than markets currently assume, then mortgage rates should come down.

What does this mean for mortgage rates

So, just like last week, we just have to wait and see. Will the Fed Push Mortgage Rates Up? Or will Omicron pull them down? no one knows.

But we may be subject to some ups and downs while the feud continues between the two.

Economic reports next week

Wednesday’s Federal Open Market Committee meeting may have the biggest impact on mortgage rates next week. But there are some economic reports, too, that may move these rates.

The main keys below are in bold. Of those, retail sales are likely to affect mortgage rates.

But none of the other economic reports listed below are likely to cause much movement in the markets unless they include shockingly good or bad data:

  • Tuesday – November Producer Price Index
  • Wednesday – November Retail And import price index
  • Thursday – November Building and housing permits. And the index of industrial production for the month of November and energy use. plus weekly New claims for unemployment insurance to December 11

Watch out for wednesday.

Show me today’s rates (December 11, 2021)

Mortgage interest rates forecast next week

Mortgage rates could go either way next week – or almost constant. Unfortunately, no one can predict what the Fed might say or what might happen to Omicron.

Mortgage and refinancing rates usually move in tandem. The gap that has grown between the two has been largely eliminated by eliminating the adverse market refinancing fee.

Meanwhile, another recent regulatory change is likely to make mortgages for investment properties and vacation homes more accessible and less expensive.

How is your mortgage interest rate determined?

Mortgage and refinancing rates are generally determined by prices in the secondary market (similar to the stock or bond markets) where mortgage-backed securities are traded.

This is highly dependent on the economy. So mortgage rates tend to be high when things are going well and low when the economy is in trouble.

your part

But you play a big role in determining your mortgage rate in five ways. You can greatly influence it by:

  1. Shop for your best mortgage rate – it varies greatly from lender to lender
  2. Boost Your Credit Score A small bump can make a big difference in your rates and payments
  3. SAVE THE BIGGEST DOWN PAYMENT – Lenders like you have real skin in this game
  4. Keep your other borrowing modest – the lower your other monthly obligations, the more mortgage you can take on
  5. Choose a Mortgage Carefully – Are you better off with a Conventional, FHA, Virginia, USDA, Jumbo, or other loan?

The time you spend getting these ducks in a row can see you win at lower rates.

Remember, it’s not just the mortgage rate

Be sure to factor in all of your upcoming home ownership costs when determining how much mortgage you can afford. So focus on Betty. This is your sprincipal (pays the amount you borrowed), Interest (borrowing rate), (real estate) THubs and (homeowners) INorns. Our Mortgage Calculator can help with that.

Depending on the type of mortgage and the size of the down payment, you may have to pay mortgage insurance as well. This can easily go up to three figures each month.

But there are other potential costs. So you will have to pay your Homeowners Association dues if you choose to live somewhere with the HOA. And wherever you are, you should expect repair and maintenance costs. There is no owner to call when things go wrong!

Finally, you’ll find it hard to forget about closing costs. You can see which ones are reflected in the Annual Percentage Rate (APR) that will be quoted from you. Because that effectively spreads it over the life of your loan, making that higher than your direct mortgage rate.

But you may be able to get help with these costs And Down payment, especially if you are a first time buyer. Read:

State Down Payment Assistance Programs for 2021

Mortgage Rate Methodology

Mortgage reports receive rates based on specific criteria from multiple lending partners every day. We came up with the average APR and APR for each loan type to display in our chart. Since we categorize a range of prices, it gives you a better idea of ​​what you might find in the market. Moreover, we make average rates for the same types of loans. For example, FHA fixed with fixed FHA. The result is a good snapshot of daily rates and how they change over time.

The information on the Mortgage Reports website is for informational purposes only and is not an advertisement for products offered by Full Beaker. The views and opinions expressed here are those of the author and do not reflect the policy or position of Full Beaker, its officers, parents, or affiliates.

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