30yr mortgage rate rises above record

For the first time in four weeks, the 30 year fixed mortgage rate rose based on improving signs in the housing market.  The rate is now 3.95% rather than the record low 3.87% last week, the 15 year rate has also increased slightly to 3.19% from 3.16%.  The signs that the housing market was improving was the decline in the percentage of delinquent borrowers and a stronger pace of existing home sales, even though these signs are good news, economists suggest a “cautious optimism” is needed to analyze these statistics.  Due to the fact that most homes are bought on credit not cash, higher interest rates makes taking out a mortgage more expensive.