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his 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.
What may impact mortgage rates this week: July 29, 2013
July 29, 2013 by Leave a Comment
What may impact mortgage rates this week: July 22, 2013
July 22, 2013 by Leave a Comment
This week’s calendar is looking a little light as far as economic indicators that are scheduled to be released. Mortgage rates have been improving following Ben Bernanke’s dovish comments to Congress last week.
What May Impact Mortgage Rates this Week: July 15, 2013 [with mortgage rates]
July 16, 2013 by Leave a Comment
This week, mortgage rates continue to be bumpy and with Ben Bernanke speaking tomorrow on Capital Hill, we may additional volatility. Here are some of the scheduled economic indicators to be released this week:
What May Impact Mortgage Rates this Week: July 1, 2013
July 1, 2013 by Leave a Comment
This is a short week packed full of economic data that may impact already turbulent mortgage rates. It may look like a light week – watch for Friday’s Jobs Report. The bond and stock markets will close early Wednesday and reopen on Friday following the 4th of July holiday.
Monday, July 1: ISM Index
Wednesday, July 3: Initial Jobless Class and ISM Services Index
Thursday, July 4th: HAPPY INDEPENDENCE DAY
Friday, July 5: The Jobs Report
If you would like me to provide you with a rate quote for your purchase or refinance of a home located anywhere in Washington state, where I’m licensed, please click here.
What may impact mortgage rates this week: June 24, 2013
June 24, 2013 by Leave a Comment
Mortgage rates are still marching higher this morning. As I’ve mentioned many times over the past couple years, mortgage rates rise much quicker than they come down, as we are experiencing that right now. As I begin to write this post on 7:00 am on June 24, 2013, the DOW is down 243. MBS are down over 100 bps as investors continue to sell mortgage backed securities as the end of the Fed’s manipulation of mortgage draws near.
Here are some of the scheduled economic indicators to be released this week:
Tuesday, June 25: Durable Goods Orders; S&P Case-Shiller Home Price Index; Consumer Confidence; New Home Sales
Wednesday, June 26: Gross Domestic Product (GDP); GDP Chain Deflator
Thursday, June 27: Personal Consumption Expenditures (PCE); Core PCE; Personal Income; Personal Spending; Initial Jobless Claims; Pending Home Sales
Friday, June 28: Chicago PMI; Consumer Sentiment Index (UoM)
I’m checking pricing for mortgage rates and we have long since left the 3’s for 30 year fixed… looks like if rates stay on this pace, it won’t be long before we are back to rates in the 5% range. Which historically speaking is still low…however, it doesn’t feel so low to those who have become accustomed to the artificially low rates we’ve enjoyed the past couple years.
As of 7:30 am, for a 30 year fixed rate based on a loan amount of $400,000 and an 80% loan to value with a 740 minimum credit score, I’m quoting (ready for this??):
- 4.750% priced with 0.064% discount, essentially at “par” or as close to zero points and zero rebate as I can get with the lenders we work with (apr 4.830).
- 4.625% is currently priced with 1.090% discount points (apr 4.921%).
Remember, mortgage rates change constantly, often several times a day – especially with how volatile the markets have been. If you would like a mortgage rate quote based on current pricing and your personal scenario for a home located anywhere in Washington state, where I’m licensed, click here.
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UPDATE 8:30 am: Check out the MBS chart from this week’s issue of Mortgage Market Guide Weekly to see how dramatically rates have recently gone up.
What may impact mortgage interest rates this week: June 17, 2013
June 17, 2013 by Leave a Comment
On Wednesday, we’ll have the results of the Fed Meeting which is sure to influence mortgage rates as traders wait for clues as to what the Fed plans to do with quantitative easing. It is not anticipated that the Fed will make any changes to the Fed Funds rate at this meeting. Ben Bernanke will be holding a press conference on Wednesday following the Fed Meeting.
Here are some of the economic indicators scheduled to be released this week:
- Monday, June 17: Empire State Index
- Tuesday, June 18: Building Permits; Consumer Price Index (CPI); Housing Starts
- Wednesday, June 19: the FOMC Meeting
- Thursday, June 20: Initial Jobless Claims; Existing Home Sales; Philadelphia Fed Index
Remember, mortgage rates are based on mortgage backed securities (bonds) and when the stock market is rallying, mortgage rates tend to deteriorate as investors will trade the safety of bonds for the potentially stronger return found with stocks. The reverse is also true.
Want more details? Check out this week’s issue of Mortgage Market Guide Weekly.
If you would like me to provide you with a mortgage rates quote for your refinance or purchase for a home located anywhere in Washington state, where I’m licensed, click here.
What may impact mortgage rates this week: June 10, 2013
June 10, 2013 by Leave a Comment
Mortgage rates have been moving higher over the past few weeks. The better than expected data from last Friday’s Jobs Report helped that trend.
There’s not a lot of scheduled economic indicators on calendar for this week so you can expect rates to be impacted by the stock market. If the stock market does well, mortgage rates may move higher. Why? Mortgage rates are based on mortgage backed securities (bonds) and investors will trade the safety of bonds for the potentially better return found with stocks.
Here’s how this week is looking with economic indicators:
- Thursday, June 13th: Retail Sales and Initial Jobless Claims
- Friday, June 14th: Producer Price Index (PPI) and Consumer Sentiment (UoM)
This morning, Standard and Poor’s revised the United States credit rating from negative to stable. Remember “good news” tends to cause mortgage rates to deteriorate.
The Treasury will be selling $66B in notes and bonds this week starting tomorrow.
Even though rates are higher than they were last month, they are still very low. If you’re interested in locking in what is still considered a historically low rate on a home located anywhere in Washington state, please contact me.
What may impact mortgage rates this week: June 3, 2013
June 3, 2013 by Leave a Comment
Mortgage rates have been trending higher, catching some home buyers and home owners waiting for a much lower rate off guard. Will that trend continue? We have the Jobs Report being released this Friday and if it comes in significantly weaker than expected, we may see rates improve. Historically speaking, mortgage rates are still very low…however, those who are set on the artificially sweet rates we’ve been experiencing, may be disappointed. You may be interested the graph in MMG Weekly ilustrating how rough May was on mortgage rates.
Here are a few of the economic indicators scheduled to be released this week:
- Mon., June 3: ISM Index
- Wed., June 5: ADP National Jobs Report; Productivity; ISM Service Index; and the Fed’s Beige Book
- Thur., June 6: Initial Jobless Claims
- Fri., June 7: The Jobs Report
The Jobs Report is the “big daddy” this week with expectations of employers adding 159k new jobs last month. If the jobs report reveals robust employment and figures better than anticipated, we may see rates spike higher. If the report surprises with weaker employment data and less jobs added than expected, we could see an improvement in rates.
As I write this post (June 3, 2013 at 8:50 am) mortgage rates are improving a bit from earlier this morning due to ISM Index coming in worse than expected. Mortgage rates change constantly. If you are interested in a mortgage rate quote based on your scenario and *current* rates, please click here. NOTE: I can only provide rates for homes located in Washington state, where I am licensed to originate mortgages.
30 year fixed: 3.875% (apr 4.046) priced with 1.232 discount points with closing cost (including points) of $8488. Principal and interest payment = $1,880.05
30 year fixed: 4.000% (apr 4.121) priced with 0.616 discount points bringing estimated closing cost to $6,024 with a principal and interest payment of $1,909.66
15 year fixed: 3.125% (apr 3.332) priced with 0.630 discount points bringing estimated closing cost to $6,080 with a principal and interest payment of $2,786.44.
Rates quoted above are based on a 740 or higher mid-credit score with a loan amount of $400,000 and a sales price of $500,000 for an 80% loan to value for a purchase in Seattle closing by July 11, 2013 using conventional financing.
If you are a pre-approved home buyer, you may want to contact your mortgage professional to make sure the rise in mortgage rates has not impacted your approval status. Especially if your approval letter was prepared over a week ago or your pushing your qualifying limits with higher debt to income ratios.
If I can help you with your refinance or purchase with your home located anywhere in Washington state, please contact me.
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