The Home Loan Mortgage Blog

Weekly Update - 9/28/18

September 28th, 2018 3:04 PM by T. Fanning



I've hope you've had a good week!

Rates were finally down this week, ending a string of increases. Next week's batch of economic data includes two very important releases. They will start and close the week with September's ISM manufacturing index late Monday morning and the monthly Employment report early Friday morning. In between are a couple of moderately important reports.*

We offer Conventional, FHA, VA, USDA, Jumbo and regular construction financing. Some of our niches include: FHA and VA 1x Close Construction-Perm; 1% Down Conventional Program; 1.50% Down FHA Advantage Program; CHFA Financing; Down Payment Protection program; 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: 9/28/18

Friday's bond market has opened in positive territory following favorable results in today's economic reports. The major stock indexes are showing minor losses, pushing the Dow lower by 23 points and the Nasdaq down 17 points. The bond market is currently up 5/32 (3.03%), which should improve this morning's mortgage rates by approximately .125 of a discount point over Thursday's morning pricing.

Yesterday's 7-year Treasury Note auction went fairly well with some indicators pointing towards a decent level of interest in the securities. It wasn't strong enough to cause a reaction in the bond market or mortgage rates though. We will get the 10-year Note and 30-year Bond auctions the week after next that tend to be more influential on rates.

The Commerce Department announced early this morning that personal income rose 0.3%last month as did spending. Forecasts were calling for a 0.4% rise in income and a 0.3% increase in spending. The slightly weaker income reading is good news because it indicates consumers had a little less money to spend than thought. But what is having the biggest impact on today's trading was a softer inflation reading within the data that the Fed uses during their FOMC meetings.

Also released this morning was the University of Michigan's revised Index of Consumer Sentiment for September. It came in at 100.1, falling short of the 100.5 that was expected and down from the preliminary reading of 100.8. This means surveyed consumers were slightly less optimistic about their own financial situations than earlier in the month. By theory, that is good news for bonds because waning confidence usually means weaker levels of consumer spending. However, this is only a small variance in a moderately important report. Accordingly, we have not seen much a reaction to the news.

Next week's batch of economic data includes two very important releases. They will start and close the week with September's ISM manufacturing index late Monday morning and the monthly Employment report early Friday morning. In between are a couple of moderately important reports. Look for details on next week's activities 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...
Float 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
Regulated by the Colorado Division of Real Estate
www.nmlsconsumeraccess.org
Posted in:General
Posted by T. Fanning on September 28th, 2018 3:04 PM

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