We're long overdue a look at loan pricing....
Day over day, on average, rebate improved by 10.1bps and buydowns are 1.7bps better. The largest pricing improvements today were seen in the note rates closest to par, but take note of how expensive it got to buydown the consumer's rate from 4.375% to 4.25%. Upwards of 85bps at all five of the majors. Yikes! Assuming the buydown was 85bps on a $200,000 loan, the breakeven on that is 9.6 years. THAT'S REALLY EXPENSIVE!!!
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