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Article: Refinancing Boom Seen Threatened by Rise In 30-Year Treasuries (interest rates)
- Article from:
- American Banker
- Article date:
- March 6, 1998
- Author:
CopyrightCOPYRIGHT 1998 SourceMedia, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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No one thinks that the mortgage origination environment is about to turn into a wasteland, but with interest rates edging upward, some think April could be a crueler month.
Many lenders enjoyed record origination volume in February, and refinance applications continued to flow in, indicating that March could be another standout month.
But rates on the 30-year Treasury bond have inched up in recent weeks and are now above 6% for the first time since December, leading some to predict an end to the refinancing boom.
"We're expecting a strong closing month in March but think there could be some tapering off commencing in April," said Robert H. Warrington, ...