**How Rates Move**
Conventional and government lenders determine their rates based on the pricing of Mortgage-Back Securities (MBS which are traded in-time on the bond market. This means that rates and loan fees (as mortgage pricing) fluctuate throughout the day, influenced by various economic and political events. When MBS pricing increases, mortgage rates or pricing typically decrease, which is unfavorable. Monitoring these securities in real-time is essential for securing the best loan pricing. For more insights into the rate market, feel free to contact me directly. I am one of the few mortgage professionals with access to live trading screens during market hours.

**Closing Costs and Lower Rates - What to Know**
Why isn't the lowest interest rate always the best deal? Lower rates often come with higher lender fees (points). There’s a break-even point to consider when factoring in closing costs, points, and fees. For instance, if a certain rate costs you $5,000 while a higher rate has no upfront cost but results in a $50 higher monthly payment, it could take a hundred months to break even! Given that the average loan lasts 60 months or less, this doesn't make financial sense.

So, why do lenders promote extremely low rates despite the associated points and fees? They understand that most consumers focus solely on the interest rate and overlook the math. Unfortunately, this advertising strategy is quite effective on many people.