Maryland Mortgage Rates

Maryland mortgage rates along with rates across the nation are based the movement of the ten-year Treasury Bonds. In general, mortgage rates follow the direction of the ten-year bond yield. The bond price and yield move opposite and are based on the laws of supply and demand. If the demand for bonds increases, the yield decreases and thus, mortgage rates fall. Conversely, if the demand for bonds decreases, the yield increases and mortgage rise.

When the economy is expanding or growing there is a higher demand for credit so mortgage rates go up. When the economy is slowing the demand for credit decreases and thus mortgage rates go down.


A good place to follow the movement of Maryland mortgage rates and mortgage rates across the nation is CNN Bond Center:

http://money.cnn.com/markets/bondcenter/ .