The big bugaboo when word got out in 2013 that the Federal Reserve would taper government mortgage bond purchases this year was that long-term rates would skyrocket as a result.

The fear was that as the Fed pulled out of the market for the securitized government loans that currently dominate lending, there would not be enough private investors to replace it as a buyer.

Subscribe Now

Authoritative analysis and perspective for every segment of the mortgage industry

30-Day Free Trial

Authoritative analysis and perspective for every segment of the mortgage industry