The government and the central bank are intent on unwinding their involvement in the mortgage-backed securities market.

The Fed, which has accumulated a trillion-dollar portfolio of mortgage-backed securities, plans to stop buying any more this week.

The same is true for the lesser-known $6,500 move-up tax credit, which is still available to those who have been in the same home for five out of the last eight years and who sell it to buy one that is more expensive.

"Here is what my outlook is," said Bert Ely, an Alexandria, Va.-based consultant on monetary policy. "I think Treasury yields are too low. I think they are going to move up because of the humongous deficits that need refinancing. Mortgage rates are going to move." Posted by Sarasota Herald Tribune.