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Tag Archives: mortgage rates

Should I Lock or Float? This Week- November 18, 2013

November_18th_2013_Mortgage_MarketThe Non-Farm Payroll numbers came in on the 8th of this month, well above expectations with 204K versus an estimate of 125K new jobs. In addition, revisions added 60,000 more jobs to the prior two month
releases and thus mortgage rates took a significant one-day beating – noted by the long red column shown on the far right of this graph. Prices are now almost back where they were before that report was announced.

For those of you shopping for a good mortgage rate, who did not lock at the time, may have just gotten your reprieve!

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Posted by on November 18, 2013 in Mortgage Rates

 

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Should I Lock or Float? This Week- August 19, 2013

Mortgage Rates Monday the 19th, 2013The market has opened this morning right where it left off last week. It continues to deteriorate. But, first let’s recap what happened last week. Looking at the graph to your right, the last 5 out of 6 trading days got worse for mortgage rates – note the “red escalator” on the far right of the chart. In addition, last week wasn’t kind to stock market investors as well.

Here is a review of the major events of the week: Read the rest of this entry »

 
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Posted by on August 19, 2013 in Housing Analysis

 

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Should I Lock or Float? This Week- August 5, 2013

Todays_market_8-6-2013When the U.S. economy hit rock bottom a few years ago we called it the Great Recession, and saw the mortgage banking industry come to a screeching halt. A thankful by-product, after the dust settled – we were treated to some of the lowest interest rates in our lifetime. Those historically low rates may have run their course as the past week brought encouraging economic news from several sources, and with that, rates are rising.

For my clients of late, I have been in a “locking” mood, and based on the technical’s – I am not changing my mind anytime soon. As you can see from the graph on your right, Mortgage Backed Securities (MBS) have traded below a ceiling of resistance going on 10 days now. The economic news this week shouldn’t have enough push, to get above that ceiling. Read the rest of this entry »

 
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Posted by on August 5, 2013 in Housing Analysis

 

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Should I Lock or Float? This Week – July 22, 2013

Mortgage Rates Trending

Mortgage Rates Trending

It’s been 3 weeks since Sacramento mortgage rates hit their highest point of 2013. Since that Friday, July 5th, we have seen a welcome rebound. I stress, the words, for now. Last Monday, retail sales came in weaker than expected – as you know, weak economic news translates to lower mortgage rates, for the most part.

Weekly jobless claims fell, and Fed Chair Ben Bernanke testified before the Senate, saying that falling gold prices were an indication of increasing confidence in the economy, but that it was “way too soon” to say when the Fed’s quantitative easing program would be reduced. Read the rest of this entry »

 
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Posted by on July 22, 2013 in Housing Analysis

 

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Should I Lock or Float? FED Minutes Reveal Rates Should Climb Before Years End

Federal Reserve to Meet this weekFOMC Minutes Suggest QE Tapering by Year-End

Ben Bernanke, Fed Chairman, blew up the bond and mortgage markets a month ago with his comments that the Fed is preparing to begin reducing the monthly purchases of treasuries and mortgage-backed securities. Rates spiked, and left folks shopping for mortgages, shaking their heads. The minutes for June’s meeting of the Federal Open Market Committee (FOMC) suggest that committee members are mostly in agreement that the current quantitative easing program (QE) should begin winding down by year-end, but the committee minutes are very clear about the committee’s intention to monitor inflation and ongoing economic and financial developments before taking action to reduce the current rate of QE. Read the rest of this entry »

 
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Posted by on July 11, 2013 in Federal Reserve

 

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Should I Lock Or Float This Week : June 24, 2013

Mortgage_Market_on_June_25thHave you ever been on a roller coaster? Not the little one that comes to your state fair every year, but the big one that you spend days preparing yourself for that inevitable ride of your life. Well, comments by Fed chairman Ben Bernanke after last week’s FOMC meeting caused quite the upheaval in financial markets, and put investors on the proverbial roller coaster, as they anticipated the potential effects of any rollback of the Fed’s policy of quantitative easing (QE). Chairman Bernanke said that the Fed may begin reducing its $85 billion monthly purchase of Treasury securities and MBS toward the end of this year. Read the rest of this entry »

 
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Posted by on June 26, 2013 in Housing Analysis

 

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Should I Lock Or Float This Week : May 13, 2013

Whats Ahead For Mortgage Rates This Week May 13 2013Over the past 7 trading days, Mortgage rates were wounded with 2 of the largest one-day spikes in over 2 years. Rates rose last week with average rates a 30-year fixed rate mortgage rising from last week’s 3.35 percent to 3.42 percent with buyers paying all closing costs and 0.7 percent in discount points.

We are in a definite “locking” bias at the moment. As I am publishing this blog, rates are still trending worse this Monday morning. Read the rest of this entry »

 
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Posted by on May 13, 2013 in Mortgage Rates

 

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