Are Mortgage Rates Going Up Or Down? (July 30, 2009 Edition)

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Are mortgage rates going up? Are mortgage rates going down? I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey may point you in the right direction.

The Bankrate.com survey is for conforming mortgages only. It does not apply to FHA mortgages, VA mortgages, jumbo mortgages, or foreign national mortgages. For rate quotes,.

The group's 30-day prediction for mortgage rates:

• 31% predict mortgage rates will increase
• 38% predict mortgage rates will decrease
• 31% predict mortgage rates will remain unchanged

I predict that rates will remain unchanged over the next 30 days.

Now, in a month from now, my prediction may be proven false, and it may not even be appropriate for your particular situation.  Here's what I told Bankrate.com:

"Until the economy breaks in one direction or the other, mortgage rates stay 'stuck'."

For as volatile as mortgage rates have been over the past 8 weeks, they've never been too high or too low.  Rates have been just right, really, to keep home buyers on the hunt and to sustain a moderate level of refinance activity in Cincinnati and elsewhere.

Mortgage rates are range-bound.  See it with your own eyes.

Despite this Goldilocks Scenario, though, getting a "good rate" has been a game of chance for rate shoppers.  Sure, the 30-year fixed mortgage rates repeatedly returns to the same 5.250-percent-with-0-points level, but, on any given day, they're swinging 3/8 percent up or down.

On a $300,000 mortgage, that can be $150 difference to your monthly payment -- enough to buy a lot of funny t-shirts.

Mortgage rates change all day, every day and it's impossible to time for a market bottom.  That said, though, you can improve your chances.  The key is to give your credit application in advance.   This includes income, assets, social security number for reviewing credit, employment history, and the rest.

Giving a mortgage application is a quick process by phone -- you can do it in less time than it takes to watch 7-Minute Abs.  You'll be glad you did, too.  With everything on file, your loan officer can lock a low interest rate for you without delays the moment it presents itself.  In volatile markets like this, that's extra important.

It only takes 30 minutes for a rates to add a quarter-percent. You'll be upset if you're on the wrong end of that change.

If you don't have a loan officer yet, you can call orto queue up your loan for low rates.  I'm always happy to work with my readers.  Or, if you prefer to watch mortgage rates from the sidelines and will act on low rates later, just follow me on Twitter.  I post market updates throughout the day.