Housing report: Why the changing mortgage rates curve matters

See video on YouTube here. Bernard Hickey delivers a Housing Report on the way the mortgage rates curve is changing and what it means for homeowners. Short term and variable mortgage rates are either flat or falling while longer term mortgage rates are rising. This has turned the mortgage market on its head so that now variable rates are cheaper than fixed rates. This 'steepness' of the mortgage rate curve is increasing and forcing home owners to decide whether variable is better than fixed. One option is to hedge your bets by having half fixed and half floating. See here for an interactive chart on the steepness of the mortgage rates curve.