Mortgage rates continued lower today as political uncertainty sparked the biggest day of stock market losses since the election.   In general, short term pain for stocks benefits bonds.  When demand for bonds increases, rates move lower.  Today was no exception.  Bond yields (which correlate with mortgage rates) fell in lock-step with stocks in the late morning hours.

Today's improvement makes for a nice addition to several days of lower rates.  In less than a week, rates have fallen quickly from 3 year highs to the lowest levels of the month.  The average lender is still quoting conventional 30yr fixed rates of 4.25% on top tier scenarios, but with lower upfront costs today.  Several of the more aggressive lenders are already back down to 4.125%, and fewer laggards remain at 4.375%.