Mortgage rates were flat yesterday, but I warned that volatility could increase today. That turned out to be an understatement. Mortgage rates shot higher nearly as quickly as they'd moved lower last week. In fact, the average lender is offering rates that are back in line with the recent highs seen last Monday.
As far as rate movement goes, today's jump in rates is a bigger deal than last week's improvement because it takes us back to the highest levels since early August. That's when the year's most abrupt drop began. Shortly thereafter, I added the first bullet point in the list of lock/float considerations below. Simply put, the rate rally was getting so big and had stuck around for long enough that we were increasingly forced to worry about it fizzling out.