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The Cinco de Mayo celebration in my heart is stifled in part by another decline in Mortgage Backed Security pricing this morning, now totaling a 180bps drop from mid April.  Given that interest rates have been so low for so long, rising rates are bound to happen of course, and a .125% rise in rate really only equates to about a $4,000 price increase on a $300,000 home.  Nevertheless, I have found that it’s the perception of a higher rate that deters some people from buying a home, more than it is the actual $20 monthly payment increase.