March 4, 2025

Mortgage rates tend to follow the bond market, but most lenders only update their rates once a day—unless bonds move dramatically. And today was definitely a bit of a ride.

This morning, the stock market took a hit, which pulled bond yields down as well. Since mortgage rates are tied to bonds, lenders were able to offer the lowest 30-year fixed rates we’ve seen since mid-October. But as the day went on, stocks recovered, and bond yields followed, leading some lenders to inch rates back up.

The good news? Even with that afternoon shift, today’s mortgage rates are still better than they’ve been since early December. This also marks nine straight days of improvement in the bond market—a solid run. With no big economic reports to shake things up, traders took their cues from stocks and technical trends. One key level to watch is the 10-year Treasury yield, which bounced off 4.11% twice today before reversing course.

After a long winning streak, it’s normal for bonds to take a breather. Whether this is just a quick pause or a real turning point depends on the data coming later this week. For now, rates remain in a pretty good spot.