interest rates in the USA v other advanced economies

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Submitted by gzz on December 17, 2018 - 12:09pm

Ten Year Bond Rates

USA 2.86
Canada 2.06
Germany 0.25
UK 1.26
France 0.73
Spain 1.40
Holland 0.41
Switzerland -0.24
Japan 0.02
Australia 2.44
New Zealand 2.45
Hong Kong 2.03
South Korea 2.00

In other words, we have the highest of any major advanced economy!

While this certainly could continue to be the case, at some point I think people collecting 0.25, 1%, etc a year in other countries will decide instead to move their cash here and buy US Bonds. That will lead to... lower mortgage rates and higher RE prices!

They really should have bought our bonds years ago. They could then have not only earned higher interest rates, but could have taken advantage of the dollar's recent appreciation.

Submitted by The-Shoveler on March 8, 2020 - 7:44pm.

Wow they are pricing in a 75 basis point drop in rates at next meeting.

Soon time to refi !!

Submitted by TheBrianNarrative on March 8, 2020 - 8:30pm.

Bumped into my mortgage guy today. He said expect a refi to take 3-4 months to close

Submitted by gzz on August 4, 2020 - 9:33am.

Wow, 2.81% when I posted in 2018, 0.51% right now.

If I had to guess at a bottom, I’d say 0.35% with intraday dipping to 0.25%.

Stock market seems overvalued, but where else can you get even 1% if you have $20 billion? Not bonds.

If we stay at the current level today, the best 30 year mortgages should get to 1.9% no points.

Submitted by JPJones on August 6, 2020 - 12:53pm.

TheBrianNarrative wrote:
Bumped into my mortgage guy today. He said expect a refi to take 3-4 months to close

Maybe I'm missing context (didn't read the whole 5 pages), but did this turn out to be true for anyone? Ours took about a month and closed 3 weeks ago. Forgive me if I'm missing something. I only check in here about once a month.

Submitted by sdrealtor on August 6, 2020 - 2:18pm.

From what I heard there was a massive onslaught in early March. Not sure how long they took but it was a while. They couldn't do on site appraisals for a while. Much better last couple months

Submitted by JPJones on August 10, 2020 - 4:36pm.

sdrealtor wrote:
From what I heard there was a massive onslaught in early March. Not sure how long they took but it was a while. They couldn't do on site appraisals for a while. Much better last couple months

Ah, that might be it. Ours didn't require an appraisal. The notary still had to come out, though. At any rate, ours is just 1 data point, so it might not have been the norm.

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