21
Jul
By Lori Blank
Market Outlook

What’s Ahead For Mortgage Rates This Week – July 21, 2014

Last week's economic news offered a variety of indications that the economic recovery continues, but some readings missed their expected levels. The Philadelphia and New York branches of the Federal Reserve Bank reported higher than anticipated manufacturing for their respective regions and new jobless claims were lower than expected. Fed Chair's Senate Testimony Hints at Coming Interest Rate Hike Federal Reserve Chair Janet Yellen testified that the Fed might have to raise interest rates sooner than expected if the economy continues to outperform the Fed's projections. Ms. Yellen said that the central bank presently estimates that the first rate increases…
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14
Jul
By Lori Blank
Market Outlook

What’s Ahead For Mortgage Rates This Week – July 14, 2014

Last week brought news from the Fed as two Federal Reserve Bank Presidents made speeches and the Federal Open Market Committee (FOMC) of the Fed released the minutes of its last meeting. The minutes reveal the Fed's intention to wrap up its bond-buying program in October with a final purchase of $15 billion in mortgage-backed securities (MBS) and Treasury bonds. No economic news was issued Monday following of the 4th of July holiday. Further indications of a strengthening labor market were seen. May job openings reached their highest level since June 2007, and quits and layoffs fell from April's reading of…
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23
Jun
By Lori Blank
Market Outlook

What’s Ahead For Mortgage Rates This Week – June 23, 2014

Last week's scheduled economic news included the National Association of Home Builders/Wells Fargo Housing Market Index, Housing Starts and Building Permits. The Fed's Federal Open Market Committee (FOMC) issued its usual statement at the conclusion of its meeting, and Fed Chair Janet Yellen also gave a press conference. Home Builder Confidence Improves, but Housing Starts Slow NAHB released its Housing Market Index report, which reached its highest reading in five months. The index moved up from 45 to 49; a reading of 50 indicates that more builders are confident about housing market conditions than those who are not. David Crowe, NAHB…
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02
Jun
By Lori Blank
Mortgage Rates

What’s Ahead For Mortgage Rates This Week – June 2, 2014

Last week's economic news was fairly quiet due to the Memorial Day holiday on Monday and no scheduled news released on Wednesday. Home Prices Post Modest Gains, But Growth Rate of Home Prices Slows Tuesday's release of the S&P Case-Shiller Home Price Index for March showed that home prices are edging up, but at a slower pace than last year. Home prices increased by 12.40 percent year-over-year as compared to February's reading of 12.90 percent year-over-year. Analysts expected prices to fall as construction picks up and more homes are listed for sale. Lower demand due to strict mortgage lending standards…
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27
May
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – May 27, 2014

Last week's economic news was dominated by speeches given by Federal Reserve presidents, the minutes from April's FOMC meeting and commencement address given by Fed Chair Janet Yellen. The latest readings for new and existing home sales were also released. Federal Reserve Speeches Suggest Concerns Over Monetary Policy Dependence, Low Inflation Here are highlights of comments made by each of the Fed presidents' speeches. Richard Fisher, president of the Dallas Fed, and John Williams, President of the San Francisco Fed, spoke at a conference held at the Bush Institute. Mr. Fisher said that 98 percent of jobs lost during the…
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19
May
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – May 19, 2014

Last week's economic news was relatively flat, but highlights include the NAHB Housing Market Index for May, which posted its lowest reading since May 2013. Although analysts expected a May reading of 48, the May 2014 index reading was 45 as compared to April's reading of 46. The NAHB reported that rising home prices and unpredictable job markets were factors in builders' loss of confidence. Although the economy is growing stronger, many would-be homebuyers remain skeptical of economic conditions and remain on the sidelines. NAHB: Stronger Builder Confidence Expected in Coming Months Builder confidence in market conditions for single family…
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12
May
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – May 12, 2014

Results from a Federal Reserve survey of senior bank loan officers indicated that lenders have held the line on prime lending standards and have raised standards for sub-prime and non-traditional home loans. Survey respondents represented 74 U.S. banks and 23 foreign banks. Survey respondents also said that demand for mortgage loans was lower; this could be an unintentional result of tight credit standards for mortgage loans. Analysts said that tight credit requirements and less demand for home loans could mean more trouble for the housing industry. Home Prices Rise In March, But At Slower Rate The annual rate of increase…
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05
May
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – May 5, 2014

Last week's economic news included several reports related to housing and mortgages. The NAR started the week on a positive note with its Pending Home Sales Index released Monday. Pending home sales in March were higher with an unexpected increase of 3.40 percent over February for an index reading of 97.40. This is encouraging news for home sales that were severely affected by a hard winter in many areas, and suggests that as warmer weather approaches, home sales will pick up. Analysts do not expect the rapid rate of price appreciation seen in 2013. The Fed's tapering of its "quantitative…
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28
Apr
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – April 28, 2014

Last week's economic news supported recent reports that home sales were fewer and home prices increased, but did so at a slower pace. The NAR reported a slower pace of existing home sales, and FHFA reported a slower year-over-year rate of growth for home prices on properties financed by Fannie Mae and Freddie Mac. The U.S. Commerce Department reported that new home sales fell to their lowest level since July 2013. Mortgage rates rose for fixed rate mortgages, but were unchanged for 5/1 adjustable rate mortgages. Here are the details: Existing Home Sales Slow, Moderate Growth In Home Prices March…
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07
Apr
By Lori Blank
Uncategorized

What’s Ahead For Mortgage Rates This Week – April 7, 2014

Last week's economic news included readings on February construction spending and multiple reports on employment data. Private sector employment was higher in March, but The Bureau of Labor Statistics reported that Non-Farm Payrolls for March fell short of expectations. According to Freddie Mac, mortgage rates ticked upward. Employment And Unemployment News ADP's payrolls report for March was higher than February's reading, with 191,000 new private sector jobs added. In February, 178,000 jobs were added. February's reading originally showed 138, 000 new jobs added. While analysts were confident that private-sector employment was showing signs of stability, the U.S. Bureau of Labor…
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