Cowen's Corner-Mortgage Market Update: Vacation Lessons and a Market in a Tight Range

March 2, 2026
I mentioned last week that we were in Florida taking a little time off and that folks down there drive in the left lane like it is their job. Well, I found out something else that was interesting.
Cowens-Corner_small-banner_950x200

Granted, we were staying at a four-star equestrian resort, and you go into that with the expectation that things will cost a little more. Night one, I asked the bartender to pick a good red wine for me. I told her what I liked and let her choose. It ended up being a $30 glass. Cindy was bent. Called me an idiot. The typical Cowen squabble.

Fast forward to the next night. I look at the menu and pick what I think is middle of the road, an $18 glass. The bartender asks if I want a 6-ounce pour or a 9-ounce pour. Well… of course I take the 9-ounce pour. Go big or go home.

The bill comes. Each glass was pushing $30 again. My wife gets bent. Again.

Apparently, because the menu did not specify that $18 was for something closer to a 4-ounce pour, that was my fault and I should have known. Whatever. I was on vacation for the first time in a while. And the wine was good.

A Quick Thank You

Before jumping into the market update, I want to say thank you again to all of our referral sources for a great 2025. We had our President’s Club celebration last Friday and recognized some incredible accomplishments across the organization.

Several of our retail team members were at or above 500 percent of their goals, and a couple of our commercial folks had outstanding fourth quarters. We also celebrated the team members who work behind the scenes to make all of this happen.

It is truly enjoyable to work with a motivated team that loves what they do and shows up every day focused on providing the best possible client experience.

Market Notes

There was plenty of rate news this past week, including headlines that the national average dipped below 6 percent. That is true. There were also reports that rates are at their lowest levels in three years. Also true.

However, we have been at or near these levels several times this year. As mentioned in prior updates, mortgage rates have been trading within a very tight range for weeks now.

If you look back a month, the national average was around 6.08 percent. Last week was about 5.98 percent. Is 5.98 percent lower than 6.08 percent? Yes. Is it a meaningful difference? Not particularly.

Mortgage rates will likely remain stable unless we see notable improvement in inflation. Last Friday's wholesale inflation data, which reflects what companies are paying for goods and services, came in higher than expected, which does not help the case for lower rates.

This week, we will get February’s employment data, released at 8:30 a.m. on Friday. Fewer jobs created than expected would likely be positive for mortgage rates. Stronger job growth would likely put upward pressure on rates.

Buckle up for a potentially choppy week leading into Friday.

Looking Ahead*

I will be around all week, so please do not hesitate to call with any mortgage related questions or needs.

-Steve-

*All loans are subject to credit approval and program guidelines.

Back to blogs

About the Company

Potomac Bank, Inc., a wholly owned subsidiary of Potomac Bancshares, Inc., was founded in 1871 as Bank of Charles Town and renamed Potomac Bank on November 3, 2025. The Company’s total assets were $976 million as of March 31, 2026. The Bank conducts operations through its nine-branch network and one loan production office serving the Eastern Panhandle of West Virginia, Washington County, Maryland, and Northern Virginia. The Bank offers comprehensive financial solutions through its consumer and commercial banking divisions, Trust, Wealth, and BCT Investments divisions, and its Residential Lending mortgage division. The Bank is also proud to serve its communities as a Small Business Administration (SBA) Preferred Lender. Over the past several years, the Bank has received numerous awards and recognitions, including American Banker’s “Top 200 Community Banks” and “Best Banks to Work For”, the Journal-News “Best of the Best” award, and the LoudounNow “Loudoun’s Favorite” award. 

The Company's shares are quoted on the OTCID marketplace under the symbol "PTBS." For more information about the Bank, please visit our website at www.potomac.bank.

Media Contact
Bryan Decker
SVP, Director of Marketing and Communications
[email protected]