The Home Loan Mortgage Blog

Weekly Update - 11/10/17

November 10th, 2017 12:06 PM by T. Fanning



Happy Veterans Day! A sincere thank you to all that served!

Not a great week for rates. The decrease we saw last week was erased. Next week brings us a handful of relevant economic releases, some of which are very important. Among them are two important inflation readings and a measurement of consumer spending. The most influential data comes mid-week and there is nothing scheduled for Monday that we need to be concerned about.*

We offer Conventional, FHA, VA, USDA, Jumbo and regular construction financing. Some of our niches include: a Conventional, FHA and VA 1x Close Construction-Perm; 1% Down Conventional Program; CHFA Financing; HomeStyle renovation program; and a jumbo, 5% down program. We also can do hobby farms, Ag properties and Alt-A (stated income, verified assets for self-employed borrowers)! To see a detailed list of programs, visit our website:  www.hlmcolorado.com/mortgageprograms

As always, please let me know if I can help you/friends/family/potential buyers/borrowers!

Last Updated: 11/10/17

Friday's bond market has opened in negative territory despite much weaker than expected economic news. Stocks are also showing losses with the Dow down 47 points and the Nasdaq down 17 points. The bond market is currently down 11/32 (2.37%), which should push this morning's mortgage rates higher by approximately .125 of a discount point.

Yesterday's 30-year Treasury Bond auction followed suit of Wednesday's 10-year sale, showing a decent level of investor interest. The bond market initially responded favorably once results were posted, but as the afternoon went on selling kicked in. That caused bond yields to rise and a few lenders to raise mortgage rates slightly before the end of the day. The selling wasn't a result of the auction. With the recent rally in bonds we should expect some profit-taking to come into the market.

Today's only economic data gave us favorable results. November's preliminary reading of the University of Michigan's Index of Consumer Sentiment came in at 97.8, falling short of the 100.4 that was forecasted. It was also a decline from October's final reading, indicating that surveyed consumers did not feel as good about their own financial situations as they did last month. Because waning confidence usually translates into softer levels of consumer spending that fuels economic growth, we can consider the data positive for bonds and mortgage rates. However, this report is not important enough to offset the overnight weakness that took place.

Next week brings us a handful of relevant economic releases, some of which are very important. Among them are two important inflation readings and a measurement of consumer spending. The most influential data comes mid-week and there is nothing scheduled for Monday that we need to be concerned about. Look for details on all of next week's events in Sunday evening's weekly preview.

If I were considering financing/refinancing a home, I would....

Lock if my closing were taking place within 7 days...
Lock if my closing were taking place between 8 and 20 days...
Lock if my closing were taking place between 21 and 60 days...
Float if my closing were taking place over 60 days from now...

This is only my opinion of what I would do if I was financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.*

*http://www.hlmcolorado.com/DailyRateAdvisory




LO NMLS: 208694 | CO License: 100008854 | Company NMLS ID: 479289
Posted in:General
Posted by T. Fanning on November 10th, 2017 12:06 PM

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