No Bull Agent

Mortgage Rate Update for the Week of June 14, 2010

Information in this post is provided by Greg Wickstrand, Home Loan Consultant for HomeServices Lending.  He is a guest blogger who provides us information from a lender’s perspective.  For additional posts by Greg, please visit his BLOG.

What’s Ahead for Mortgage Rates this Week:  June 14, 2010
By:  Greg Wickstrand

Mortgage markets posted four good days last week and one awful one.  Unfortunately for rate shoppers , that one bad day outweighed the gains of the other four and mortgage rates worsened on the week overall.

Despite re-touching all-time lows on Tuesday and Wednesday, Conforming and FHA mortgage rates moved higher on the week.

There wasn’t much domestic data on which for mortgage markets to move so rates took their cues from global economic activity. Strong data from Japan and China, plus an improving outlook from the Eurozone, sparked optimism among Wall Street investors.  Cash poured into the stock market and it happened at the expense of bonds — including the mortgage-backed ones.

It’s the primary reasons rates rose and not even the worst Retail Sales report in 8 months could undue the damage.

Often, weak Retail Sales data causes mortgage rates to fall. Last week, however, that wasn’t the case.

This week, there’s cause for rates to rise again with Wednesday emerging as a “data day”.

First, at 8:30 AM ET, the government releases two key housing statistics and one major gauge for inflation — Housing Starts, Building Permits and Producer Price Index, respectively.  Strength in any or all three should lead mortgage rates higher.

Then, at 5:45 PM ET, Fed Chairman Ben Bernanke makes a public speech and anytime Bernanke speaks, mortgage rates can move.

Mortgage rates remain unnaturally low and a lot of Americans have taken advantage already. If you’re a homeowner and you’ve wondered whether or not a refinance makes sense, talk to your loan officer straight away. Low rates like this can’t last forever so lock one in while you can.  View the original post HERE.

Look for future posts at www.NoBullAgent.com every Monday on issues to watch for in the mortgage market from local lenders in the San Diego area. When choosing a lender, we suggest you talk with a few to make sure you find a representative and company that works for you.  Having a strong relationship with your lender, especially in this market, can be crucial to a successful home buying experience.

To search available listings throughout San Diego County and Southern California, please click HERE.
To save your property searches and receive updates on new properties CONTACT US.

Tags: kaplan, market, mortgage, nobullagent, update

This entry was posted on Monday, June 14th, 2010 at 2:37 pm and is filed under Finance, Home Buyers, Lending. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Leave a Reply

Name (required)

Email (will not be published) (required)

Website