This couldn't be less true.
Rate quotes change in the middle of the day because mortgage markets are in constant flux. All day, every day -- just like stocks.
And like stocks, a mortgage bond's morning price will likely "expire" before the day ends.
One way to visualize this is to look at today's Microsoft's stock price:
- At 9:30 A.M. ET, the price was $28.46
- At 9:38 A.M. ET, the price was $28.72
Over the course of 8 minutes, the stock rose by 26 cents and the "9:30 A.M. quote" was no longer available. For example, you couldn't call your stock broker at 9:38 A.M. and place an order for the 9:30 A.M. price because the price had changed.
Mortgage rates behave the same way.
Throughout 2008, mortgage rates have changed mid-day more frequently than in the past. On more than half the days, morning rate quotes were no longer valid in the afternoon. And, on at least 5 separate occasions, rates changed 4 times in just one day.
It's not typical, but it does happen.
So, if you're talking with your loan officer in the morning about a rate quote, be prepared to do all of your shopping in a compacted amount of time, and then be ready to make a decision.
By the time the afternoon rolls around, after all, that rate quote may well be expired.