Mortgage News Weekly Happy Monday The Federal Reserve's continued rate hikes attempt to break the economy like an Arizona 1st-round bracket buster. The prime rate now sits at 8.00%. Despite this, mortgage rates look fantastic this morning and will hopefully start a solid trend. A new quarter is here, and we’re in full Spring buying season. Lots of activity with clients looking at homes, making offers, and getting accepted. Lots of interest in last week’s information of the 20% Downpayment assistance program. We have issued multiple sets of preliminary scenarios for clients. Verify my mortgage eligibility (Oct 3rd, 2023) We have also implemented a new CalHFA Dream For All calculator on our website by clicking the link above. Great breakdown of the math and even simulates a seller net sheet! Mortgage Rates: Overall, rates are looking strong heading into the 2nd quarter! As you noticed, we added a new set of rates below our normally quoted rates. There has been and will continue to be interest (pun) in paying discount points. This will give a good barometer of what paying a point would buy you. TECHNICALS Are We Stabilizing? 10YR Treasury 2023 Annual Consumer Inflation Continues to Move Lower Inflation is trending lower, which is good news for mortgage bonds and interest rates. This could benefit buyers in the near future. Signed Contracts Show Housing Is Standing Strong Pending Home Sales are increasing, signaling that the housing market is rebounding. This means more opportunities for both buyers and sellers. Media Cries Housing Crash but Appreciation Data Says Otherwise Home prices are softening, but they’re far from crashing. This could be a great time for buyers to find more affordable options. Significance of Elevated Continuing Jobless Claims While Initial Jobless Claims are relatively low, Continuing Claims are rising, indicating a slowdown in hiring. This could impact buyers’ employment stability. What Do GDP Forecasts Signal? Keep an eye on the upcoming GDP readings, as they could signal a potential recession, which might affect the housing market. What to Look for This Week Stay tuned for updates on the labor sector, including the ADP Employment Report, Jobless Claims data, and the BLS Jobs Report. Also, watch out for the ISM Index, which gives insights into the manufacturing sector. Technical Picture Mortgage Bonds are showing positive signs, which could be beneficial for buyers. The 10-year has broken below a tough floor, and this could impact interest rates. Keep an eye on these trends! Happy house hunting and selling! Show me today's rates (Oct 3rd, 2023) GTG Financial, Inc Click to Call or Text: (707) 546-0440 This entry has 0 replies Comments are closed.
