What May Impact Mortgage Rates this Week: September 22, 2014.

Happy first day of fall! Mortgage rates continue to be in a fairly tight range and are slightly improved compared to last Monday’s rate post.

Here’s a short  list of economic indicators that may impact the direction of mortgage rates this week:

• Monday, September 22: Existing Home Sales
• Wednesday, September 24: New Home Sales
• Thursday, September 25: Initial Jobless Claims; and Durable Goods Orders
• Friday, September 26: Gross Domestic Product (GDP); GDP Chain Deflator; and Consumer Sentiment Index (UoM)

Mortgage rates are based on mortgage backed securities (bonds) and often change throughout the day based on reactions from traders and the stock market. Often times, when there is bad economic data, we may see mortgage rates improve as investors will seek the safety found in bonds. Signs of inflation can drive mortgage rates higher due to the negative impact on bonds.

As I write this post, 9:00 am on Monday, September 23, 2014, I’m quoting:

NOTE: These rates are expired. Please click here for a current rate quote for homes located in Washington state.

30 year conventional fixed rate: 4.250% (apr 4.341%) priced with 0.496 points, an improvement of 0.209 points compared to last Monday’s post.

15 year conventional fixed rate: 3.375% (apr 3.550%) priced with 0.654 points. This is essentially the same rate that I quoted last Monday, slightly improved by 0.021 points.

Rates quoted above are based on a purchase in greater Seattle with a sales price of $500,000 with a 20% down payment and loan amount of $400,000 closing by October 30, 2014 or sooner. The home buyers have excellent credit with scores of 740 or higher.

Rate quotes 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 for a mortgage rate quote for your home located in Bonney Lake, Bremerton, Burien or anywhere in Washington state where I’m licensed, please click here.