In the past, when consulting about mortgage rates, it was simply a matter of writing down the numbers provided by the bank teller. Now, things are different. Customers often bring in screenshots of the 10-year Treasury yield graph and ask why these numbers fluctuate. Having observed this market for a long time, I aim to calmly answer this question.

The basic structure of mortgage rates has not changed significantly, whether in the past or now. They are based on the 10-year Treasury yield, which is similar to the loan term, with the Federal Reserve's monetary policy direction and inflation trends layered on top. In the past, these trends were reflected gradually over several months, but now, information travels faster, and it is common for the market to react the day after data is released.

The mortgage-backed securities (MBS) market also reacts much more sensitively than before. Investors quickly adjust their positions based on inflation data, leading to noticeable changes in mortgage rates even within a single day. While it used to be sufficient to check rates once or twice a month, I now recommend that clients nearing a contract check rates weekly.

In numerical terms, by mid-2026, the Freddie Mac PMMS indicates that the 30-year fixed rate is forming in the mid to high 6% range, while the 15-year fixed rate tends to be lower. Those who remember the low-interest periods may find the current levels burdensome, but in the long-term trend, it seems that these levels are still within the range that the market can bear.

The perception of ARM products has also changed from the past to now. Previously, ARMs were seen as risky, but now they are being reevaluated as a reasonable option for those who plan to live in a home for only a few years before refinancing or moving. However, if it's a long-term residence, I still recommend fixed rates.

The impact of credit scores is also greater now than it was before. In the past, there was not much difference in rates across credit score ranges, but now there can be nearly a 1% point difference between scores above 760 and those in the 620 range. When considering DTI and down payment ratios, the actual rates individuals receive can vary significantly.

Morgantown is a region with steady rental demand centered around the university. While most purchases were for personal residence in the past, there is now a growing trend of inquiries for investment purposes aimed at rental income. Korean households should keep in mind that the criteria for choosing loan products may vary depending on their objectives.

Ultimately, one principle remains unchanged, whether in the past or now: compare estimates from at least two or three places before signing a contract, and check your credit status in advance. This basic rule still holds true, even as times change.