What Makes Interest Rates Go Up and Down?

For many Of us, it can be a true mystery as to why interest rates are constantly fluctuating.

We are here to make understanding these constant changes simple and easy to understand.

Here are the top issues affecting interest rates:

  • When the 10-year note (or T Note) when it gets negative - this means rates will get better. This may sound complex, but in simplified terms a negative ten year means the investor lost money when the bond matured.

  • When positive, it gets worse. In this instance, there is a time value of money, where money today is worth more than money tomorrow.

  • Consumer confidence: This can play a significant role as consumer confidence impacts consumer spending, so when demand is high prices fluctuate.

  • US Labor Reports: If job employment is high this can play a role in consumer confidence and spending, so each component is intertwined to impact interest rates.

If you still have questions or are ready to take that step and purchase or refinance, we offer competitive pricing, rates and timely closings and invite you to contact us today.


John Katsaros, Premier Mortgage Consultants--

John Katsaros is the founder and president of Premier Mortgage Consultants. John has been in the banking industry for over 20 years and owner for 10 years. Prior to banking John graduated with a bachelors degree in Business/Finance from Washington and Jefferson College. John reviews his emails daily and welcomes any questions, comments or suggestions to jkatsaros@premiermtgconsult.com

Posted on November 9, 2021 .