November 18th, 2022 12:59 PM by T. Fanning
Happy Friday, I hope you’ve had a good week.
Rates were mixed this week, but stayed fairly flat. Next week will be shortened by the Thanksgiving holiday but still has plenty scheduled that may influence mortgage rates. It starts off with mid-term Treasury auctions Monday and Tuesday that will come into play during early afternoon trading those days. Wednesday has a large batch of data and other events scheduled that we will be watching.*
We offer Conventional, FHA, VA, USDA, Jumbo and regular construction financing. Some of our niches include: Chenoa Fund loans; FHA and VA 1x Close Construction-Perm; 1.50% Down FHA Advantage Program; CHFA Financing; HomeStyle renovation program; and a Jumbo, 5% down program. We also can do hobby farms, Ag properties and Non-QM (stated income, verified assets for self-employed borrowers)! To see a detailed list of programs, visit our website: www.homeloanmortgageco.com/mortgageprograms
Last Updated: 11/18/22
Friday's bond market has opened in negative territory despite favorable economic data. Stocks are mixed with the Dow up 96 points and the Nasdaq down 3 points. The bond market is currently down 5/32 (3.78%), but due to gains late yesterday we should still see an improvement in this morning's rates of approximately .125 of a discount point.
Both of this morning's economic reports were posted at 10:00 AM ET. The National Association of Realtors gave us their Existing Home Sales report for October. With it they announced a 5.9% decline in home resales last month, the ninth consecutive monthly decline. This was a bit smaller of a decline that was expected, but nevertheless, another month of housing sector weakness shows a slowing economy and is good news for bonds.
The Conference Board said their Leading Economic Indicators (LEI) for October fell 0.8% when analysts were expecting to see a 0.5% drop. A decline means the indicators are predicting weaker economic activity over the next several months. Today's larger than expected decline means they are pointing to much softer activity than many had thought, making the report good news for bonds and mortgage rates.
Next week will be shortened by the Thanksgiving holiday but still has plenty scheduled that may influence mortgage rates. It starts off with mid-term Treasury auctions Monday and Tuesday that will come into play during early afternoon trading those days. Wednesday has a large batch of data and other events scheduled that we will be watching. Look for details on all of the 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... 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.*
*https://www.homeloanmortgageco.com/DailyRateLockAdvisory
Company NMLS ID: 479289 | LO NMLS: 208694
CO License: 100008854
FL Company License: MBR4416 | FL License: LO89221
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