When looking at an average mortgage rates chart, one has to think that the overall downward trend has been broken.  The increase from 4.82% to 5.59% in three short weeks makes it hard to believe that the mortgage rate trend will remain down.  The biggest concern that I have about mortgage rates going higher in the next few weeks is the renewed interest in the 10 year treasury rate.  Even though we have seen a strong pullback from the 4% resistence level, there is no debating that the 10 year is up trending.

The only reason that mortgage rates are not in complete bull mode is the fact that the government has created artificial mortgage rates by buying up mortgage backed securities.  I have stated many times over that this would come back to haunt them and maybe that is happening sooner rather than later.  The 10 year treasury rate is likely to determine the mortgage rate trend over the next few weeks, so lets see where the treasury rate goes.

Make sure to use Subprime Blogger for your mortgage rate predictions as well as keeping with with daily mortgage rates.