Mortgage Rates Hit New Lows for 2014

The direction of mortgage rates continues to baffle experts as rates hit new lows for 2014. Average mortgage rates made new lows this week on the heels of lower U.S. bond yields. Investors were spooked this past week by the fall in equity markets, sending investors to the safety of U.S. bonds which in turn, sent yields lower. Bond yields move in inverse to bond prices, so when prices move higher, yields move lower.