Mortgage rate update for the week of October 1, 2012

I cannot believe it’s October, can  you? Perhaps it’s our extended summery weather we are experiencing in Seattle. This being the first week of a month means that we have the Jobs Report being released this Friday. The Jobs Report tends to impact mortgage rates as it indicates how the economy is doing and the potential for wage inflation. It is anticipated that 120k jobs were added last month – we’ll see how the numbers pencil out on Friday when September’s Jobs Report is released. Wednesday is loaded with both the ADP National Employment Report and the release of the FOMC minutes.

Remember, mortgage rates are based on mortgage backed securities (bonds) and when the stock market is rallying, investors will often trade the safety of bonds for the potentially higher returns found with stocks. Mortgage rates often change several times a day.

Here are a few of the economic reports and events scheduled to be released this week:

Monday, October 1: ISM Index

Wednesday, October 3: ADP National Employment Report and ISM Services Index

Thursday, October 4: Initial Jobless Claims and FOMC Minutes

Friday, October 5: The Jobs Report

As a side note, this Thursday evening, I will be at the 2012 WAMP Leadership and Humanitarian Awards as a finalist for Outstanding Loan Officer. Our company, Mortgage Master Service Corporation, won last year’s Outstanding Mortgage Company at this event.

If your current mortgage rate is in the mid-to-high 4% range or higher, you should consider refinancing. I’m happy to provide you with a written rate quote at no obligation if your home is located in Washington state (where I’m licensed to originate mortgages) and your credit scores are over 640. Click here for a free rate quote.