Seattle Mortgage Rates Today 9/26/12: “Is this all a dream…?”  Incredibly, mortgage bonds continue to soar as negative sentiment out of Europe continues to worsen.  Further mandated austerity measures in Greece fueled nearly 70,000 rioters to the Greek Parliament.  Spain is back in the news with unrest in the capital of Madrid.  Mariano Rajoy, Prime Minister of Spain, has been reluctant to ask for bailout funds from the European Central Bank.  Given the upcoming regional elections in October, Rajoy seems to be buying time in order to keep his job.  Other European leaders have been ousted for seeking out bailout funds.  Furthermore, Rajoy is most likely waiting for Italy to request aid; Spain may have some clout in negotiating should both Italy and Spain request aid simultaneously.

Again, the continued bond purchasing by the Fed has also fueled the bond market.  Rates are most likely at their lowest; however, as we have seen every year rates tend to rise around November.  A locking stance is recommended.