This week is packed with economic data that may influence the direction of mortgage rates wrapping up with the Jobs Report on Friday. Mortgage rates will also react to world tensions, such as what’s taking place in the Middle East. This is because mortgage rates are based on bonds (mortgage backed securities) and investors often seek the safety of bonds over the potentially higher return found with stocks. Stocks are taking a hit this morning and mortgage backed securities are improved.
Here are some of the economic indicators that are scheduled to be released this week:
- Monday, September 29: Personal Consumption Expenditures and Core PCE; Personal Income; Personal Spending; Pending Home Sales
- Tuesday, September 30: S&P/Case Shiller Home Price Index; Chicago PMI; Consumer Confidence
- Wednesday, October 1: ISM Index; ADP Employment Report
- Thursday, October 2: Initial Jobless Claims
- Friday, October 3: The Jobs Report; ISM Services Index
Mortgage rates continue to improve. As I write this post, 9:00 am on September 29, 2014, I’m quoting:
- 30 year conventional fixed rate: 4.125% (apr 4.272%) priced with 1.165 points
- 30 year conventional fixed rate: 4.250% (apr 4.321%) priced with 0.256 points, an improvement of 0.24 points from last Monday’s rate post.
- 15 year conventional fixed rate: 3.250% (apr 3.498%) priced with 1.155 points.
- 15 year conventional fixed rate: 3.375% (apr 3.531%) priced with 0.521 points, an improvement of 0.133 points from last Monday’s rate post.
Rates quoted above are based on a purchase in greater the Seattle – King County area with a sales price of $500,000 with a 20% down payment and loan amount of $400,000. The home buyers have excellent credit with scores of 740 or higher and the purchase transaction is closing by November 6, 2014 or sooner.
Rates quoted are subject to credit approval and may change at any time. This is just a small sample of the rates and mortgage programs that I have available. If you would like me to provide you with a mortgage rate quote for a purchase or refinance of your home located in Olympia, Orting, Ocean Shores or anywhere in Washington State where I’m licensed, please click here