Mortgage Rate update for the week of November 13, 2012
Mortgage rates continue to provide many the opportunity to reduce their mortgage payments or to qualify to a home at extremely low rates. With the re-election of President Obama, it’s also likely we will see expansion of the Home Affordable Refinance Program to HARP 3.0 as well as the governments prolonged purchasing of mortgage backed securities, manipulating mortgage rates at these historic low levels.
Here are a few of the economic indicators scheduled to be released this week:
Wednesday, November 14: Retail Sales; Producer Price Index (PPI)
Thursday, November 15: Empire State Index; Initial Jobless Claims; Consumer Price Index (CPI); Philadelphia Fed Index
Although it might seem like a light week with no economic indicators scheduled to be released today or Friday; Wednesday and Thursday’s reports are loaded with data that could impact mortgage rates. Watch for signs of inflation which could cause mortgage rates to trend higher. Remember, as the stock markets rally, mortgage rates tend to increase as investors will trade the safety of bonds (like mortgage backed securities) for the potentially quicker profit of stocks. The reverse is also true.
Just a reminder, next week is Thanksgiving and most offices will be closed (including ours) on Thursday, November 22 and Friday, November 23. ‘Tis the holiday season!
If you would like a rate quote or to get preapproved for a home located in Magnolia, Redmond, Renton or anywhere in the State of Washington, where I’m licensed to originate mortgages, please contact me.