May 12th, 2023 2:26 PM by T. Fanning
Hello, I hope you’ve had a good week!
Rates ended the week mixed. Next week brings us a handful of relevant economic reports in addition to another Treasury auction and a couple of high-profile Fed member speaking engagements. One of the reports, April's Retail Sales early Tuesday morning, is considered to be a major release. The rest of the calendar is best described as moderately important. Monday has nothing scheduled that we need to be concerned with.*
We offer Conventional, FHA, VA, USDA, Jumbo and regular construction financing. Some of our niches include: Chenoa Fund loans (100% FHA financing); Conventional, 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 can also do non-traditional programs! To see a detailed list of programs, visit our website: www.homeloanmortgageco.com/mortgageprograms
Last Updated: 5/12/23
Friday's bond market has opened flat despite favorable consumer sentiment data. Stocks are calm during early trading with the Dow up 1 point and the Nasdaq down 24 points. The bond market is currently down 2/32 (3.39%), but a little weakness late Thursday is going to cause an increase of approximately .125 of a discount point in this morning's mortgage rates.
Yesterday's 30-year Treasury Bond auction went fairly well, attracting more interest than Wednesday's 10-year Note sale did. However, it wasn't strong enough to have a noticeable impact on bond trading or cause a change in mortgage pricing. We saw little reaction to the results when they were posted at 1:00 PM ET.
Today's sole relevant economic release was the University of Michigan's preliminary Index of Consumer Sentiment for May at 10:00 AM ET. They announced a reading of 57.7, falling well short of the 62.9 that was expected. The decline from April's 63.5 signals surveyed consumers were not as optimistic about their own financial situations as they were last month. Since waning confidence usually translates into softer consumer spending numbers, we can consider this reading favorable for mortgage rates.
Next week brings us a handful of relevant economic reports in addition to another Treasury auction and a couple of high-profile Fed member speaking engagements. One of the reports, April's Retail Sales early Tuesday morning, is considered to be a major release. The rest of the calendar is best described as moderately important. Monday has nothing scheduled that we need to be concerned with. Look for details on all of 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... 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
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