anyone refinance their mortgage yesterday?

[qwyjiboChu]

Does anyone know what was going on with the rates yesterday? There was a one-day plummet on 30-year fixed mortgage rates, and I managed to refinance at 5.50% with no points, and luckily did it before rates shot back up today. But the weird thing was that 15-year fixed rates were HIGHER yesterday than 30-year fixed, probably a relic of the oddly-shaped yield curves. Is there any precedent for this sort of thing?

[MathMan48]

i refied about a month ago to a fixed and shorter duration.

[Gary Wright]

Originally Posted by qwyjiboChu

Does anyone know what was going on with the rates yesterday? There was a one-day plummet on 30-year fixed mortgage rates, and I managed to refinance at 5.50% with no points, and luckily did it before rates shot back up today. But the weird thing was that 15-year fixed rates were HIGHER yesterday than 30-year fixed, probably a relic of the oddly-shaped yield curves. Is there any precedent for this sort of thing?

Take a look at the citigroup PLI - that's the only index I've looked at lately. Purchasing debt each year on the index is coming at a higher rate in the near future.

First time I can remember looking at pensions and picking discount rates based on cash flow where completely inactive / overmature pensions are showing a higher discount rate than a typical newer or even mature plan.

[qwyjiboChu]

Yeah it's driving me nuts that shorter duration pension plans have higher rates than the plans with longer durations. It's a complete mind warp, but at least I got a pretty good rate on my mortgage.

[Gary Wright]

Originally Posted by qwyjiboChu

Yeah it's driving me nuts that shorter duration pension plans have higher rates than the plans with longer durations. It's a complete mind warp, but at least I got a pretty good rate on my mortgage.

The last part is the most important part. No big problem with the pensions - liabilities are what they are, and you do it again next year. It's "good for the OCI" this year, and will be at 1/1 for people who have groaning balance sheets.

Just think, if nobody would've been busting our chops about picking arbitrary rates, we wouldn't have all of these method-based rates that are 150 basis points higher. Give those auditors what they wanted!

[wooHoo]

Originally Posted by qwyjiboChu

Yeah it's driving me nuts that shorter duration pension plans have higher rates than the plans with longer durations. It's a complete mind warp, but at least I got a pretty good rate on my mortgage.

It was that way in the UK for a while. I'm not sure if it still is.