What May Impact Mortgage Rates this Week: July 28, 2014

MortgagePorter-JobsReportThis week is packed full of economic indicators that may influence mortgage interest rates, including the Fed meeting on Wednesday and Jobs Report on Friday. The Jobs Report carries a lot of weight with mortgage rates as it may indicate inflation. As the economy and employment improves, we may see signs of wage inflation. Inflation is the arch enemy of bonds, like mortgage backed securities – which mortgage rates are based on. World tensions may also impact mortgage rates as investors may seek the safety found in bonds.

Here are some of the economic indicators scheduled for this week:

  • Monday, July 28: Pending Home Sales
  • Tuesday, July 29: S&P/Case Shiller Home Price Index; Consumer Confidence
  • Wednesday, July 30: ADP National Employment Report; Gross Domestic Product; FOMC Meeting
  • Thursday, July 31: Initial Jobless Claims; Employment Cost Index; Chicago PMI
  • Friday, August 1: The Jobs Report; ISM Index; Consumer Sentiment

As I write this post, 7:30 am on July 28, 2014, I’m quoting:

  • 30 year fixed conventional: 4.125% (apr 4.273%) priced with 1.176 points. This is an increase of 0.266 in points from last week’s rate post – putting the pricing pretty darn close to where it was 2 weeks ago.
  • 15 year fixed conventional: 3.250% (apr 3.464%) priced with 0.927 points. This is essentially the same as last week’s rate post (improved by 0.028 points).

The rates quoted above are based on a purchase in the greater Seattle area with a sales price of $500,000, 20% down payment and a loan amount of $400,000 closing by September 4, 2014 or sooner. The home buyers have excellent credit scores of 740 or higher.

Rates are subject to credit approval and may (will) change at anytime. This is just a very small sample of rates and programs that I have available. Please click here if you would like me to provide you with a rate quote. If you are interested in refinancing or buying a home located in Des Moines, Davenport, DuPont or anywhere in Washington state, please contact me – I’m happy to work with you as your Licensed Loan Originator.

What May Impact Mortgage Rates this Week: April 28, 2014 – Mortgage Rates are Lower!

mortgageporter-economyThis week is jam packed with data that may impact the direction of mortgage interest rates. Mortgage rates are based on bonds (mortgage backed securities) and are traded similar to stocks. Often times, mortgage rates will improve when we see the stock market taking a hit or rise when the stock market is rallying. This is because investors will trade the safety of bonds for the greater returns potentially found with stocks. The reverse is also true.

[Read more...]

What may impact mortgage rates this week: March 3, 2014

MortgagePorter-JobsReportMortgage rates are slightly improved this morning as the stock market is taking a bit of a hit. As I write this (8:45 am) the DOW is down about 200 points. It’s not unusual to see mortgage rates improve when the stock markets are selling off as investors will seek the safety of bonds.  Mortgage rates are based on bonds (mortgage backed securities) and will often react opposite to the stock market.

[Read more...]

What May Impact Mortgage Rates this Week: January 6, 2014

MortgagePorter-JobsReportThis week we’ ll be watching for the minutes from the last FOMC meeting and the Jobs Report as they may impact the direction of mortgage interest rates. It’s anticipated that employers added 197k jobs in December. Here are the economic indicators scheduled to be released this week:

[Read more...]

What May Impact Mortgage Rates this Week: December 2, 2013

MortgagePorter-JobsReportThis week is packed with economic data that may impact mortgage the direction of mortgage interest rates including the Jobs Report on Friday. Here are some of the economic indicators scheduled to be released:

[Read more...]

What May Impact Mortgage Rates this Week: November 4, 2013

MortgagePorter-JobsReportMortgage rates continue to be at very low levels. Although they’re not at the lows from May, Freddie Mac’s Mortgage Market Survey reports that mortgage rates have been trending lower for the last four months. If you missed the refi-boat a few months ago, this may be your second chance. You may want to contact a local licensed mortgage professional for an updated mortgage rate quote (if your home is located anywhere in Washington state, I’m happy to help you).

[Read more...]

What May Impact Mortgage Interest Rates this Week: September 2, 2013

MortgagePorter-JobsReportIt’s not only economic indicators that may impact the direction of mortgage rates, world events, such as what’s going on in Syria, may also cause rates to go down or up. This is because mortgage interest rates are based on mortgage backed securities (bonds) and when their is uncertainty in the world, investors may seek the safety of bonds, which tends to cause mortgage rates to improve. Remember, as the stock market improves, investors will trade the safety of bonds (like mortgage backed securities) for the potentially quicker returns found in stocks.

[Read more...]

What may impact mortgage rates this week: July 29, 2013

This week is packed full of economic data that may dramatically impact mortgage rates. Not only do we have the results of the Fed meeting on Wednesday, we wind up the week with the Jobs Report on Friday. I anticipate this will be another volatile week for mortgage interest rates.

[Read more...]