The Home Loan Mortgage Blog

 

Happy Friday!

 

We now serve the state of Florida! Let me know if I can be of any help with any buyers/borrowers in either Colorado or Florida!

 

Rates saw only very small movement this week and ended mixed. Next week brings us fewer economic releases and other events that are expected to influence mortgage pricing, but two of the handful of reports that we will get are considered extremely important to the markets. The week starts and ends with those two. We will get July's ISM manufacturing index late Monday morning and the almighty monthly Employment report early Friday morning. In between, there are a couple of moderately important releases. However, the most movement in rates will likely come as the week starts or ends.*

 

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 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, your friends/family/potential buyers/borrowers!


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Last Updated: 7/30/21

 

Friday's bond market has opened in positive territory following mixed economic data. Stocks are calm but mixed with the Dow up 5 points and the Nasdaq down 52 points. The bond market is currently up 8/32 (1.23%), which should improve this morning's mortgage rates by approximately .125 of a discount point.

 

The first of this morning's three economic reports was June's Personal Income and Outlays data at 8:30 AM ET. It revealed a 0.1% rise in income and a 1.0% jump in spending. Both readings exceeded forecasts by a noticeable margin (down 0.6% and up 0.5% respectively), making the headline numbers bad news for bonds and rates.

 

Fortunately though, the PCE index in the data that the Fed heavily relies on as an inflation indicator came in below forecasts. The overall and core readings each came in 0.2% below expectations, indicating inflation was not as strong last month as many traders had thought. That is a clear positive for bonds and mortgage rates, helping to offset the negative reaction we may have gotten from the income and spending readings.

 

This morning's second release was the 2nd Quarter Employment Cost Index (ECI) that also fell short of forecasts. The 0.7% increase shows employer costs for wages and benefits did rise during the April through June months, but not as much as predicted. Therefore, we can consider this report as slightly favorable for mortgage rates.

 

July's revised University of Michigan Index of Consumer Sentiment closed this week's calendar at 10:00 AM ET. They announced a reading of 81.2, up from the preliminary reading of 80.8. The higher reading means surveyed consumers felt slightly better about their own financial situations than previously thought. Strengthening sentiment usually translates into higher levels of consumer spending that fuels economic growth. While the increase is technically unfavorable for rates, it was a minor variance and has not drawn much attention this morning.

 

Next week brings us fewer economic releases and other events that are expected to influence mortgage pricing, but two of the handful of reports that we will get are considered extremely important to the markets. The week starts and ends with those two. We will get July's ISM manufacturing index late Monday morning and the almighty monthly Employment report early Friday morning. In between, there are a couple of moderately important releases. However, the most movement in rates will likely come as the week starts or ends. 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...
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
 

Company NMLS ID: 479289 | LO NMLS: 208694

CO License: 100008854

FL Company License: MBR4416 | FL License: LO89221
                        

Regulated by the Colorado Division of Real Estate

www.nmlsconsumeraccess.org

Posted by T. Fanning on July 30th, 2021 8:51 AM

Hi, TGIF,

 

Rates were mixed again this week with only some small changes. Activities start Monday morning with the release of the June's New Home Sales. This report tracks the small portion of all home sales that yesterday's Existing Home Sales did not, meaning it likely won't have a noticeable impact on rates unless it shows a huge variance from forecasts.*

 

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 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, your friends/family/potential buyers/borrowers!


Last Updated: 7/23/21

 

Friday's bond market has opened in negative territory as investors prepare for next week's busy schedule. Stocks appear to be closing the week on a positive note with the Dow up 119 points and the Nasdaq up 36 points. The bond market is currently down 3/32 (1.28%), but strength during afternoon trading Thursday should allow this morning's mortgage rates to be approximately .125-.250 of a discount point lower than yesterday's early pricing.

 

There is nothing scheduled for today that is expected to affect mortgage rates. The early weakness in bonds doesn't come as a surprise considering the strength of the recent rally. With little to drive trading today and so much scheduled next week, it is a good opportunity for traders to capture some of the profits from the rally. Unless something unexpected happens, it is safe to assume that we won't get an intraday improvement to rates today.


Next week is packed with events that may move rates, including the initial GDP reading for the 2nd quarter that is extremely important to the markets. In addition to a slew of economic data, we also have a couple of Treasury auctions to digest and another FOMC meeting taking place. There is at least one event scheduled each day, with several having multiple items that can have an impact on mortgage pricing.

 

Activities start Monday morning with the release of the June's New Home Sales. This report tracks the small portion of all home sales that yesterday's Existing Home Sales did not, meaning it likely won't have a noticeable impact on rates unless it shows a huge variance from forecasts. Look for details on all of next week's calendar 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 by T. Fanning on July 23rd, 2021 11:42 AM

Hi, happy Friday,

 

Rates were mixed this week with minor changes in both directions. Next week has far fewer economic reports and other events scheduled than this week did. Most of what is being posted is related to the housing sector and likely will not cause a major sell-off or rally in bonds. Monday has nothing of importance scheduled, meaning we can expect weekend news to drive trading that day.*

 

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 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, your friends/family/potential buyers/borrowers!


Last Updated: 7/16/21

 

Friday's bond market has opened in negative territory, partly due to stronger than expected results in today's major economic release. Stocks are showing modest gains of 20 points in the Dow and 16 points in the Nasdaq. The bond market is currently down 6/32 (1.32%), but gains late yesterday should keep this morning's mortgage rates close to Thursday's early pricing. If you saw an intraday improvement Thursday afternoon, you may see an increase of the same amount this morning.

 

The highly important Retail Sales report for June was posted at 8:30 AM ET this morning, revealing a surprisingly strong 0.6% jump in sales when forecasts showed a 0.5% decline. Even a secondary reading that excludes more costly and volatile auto transactions was much higher than expected (up 1.3% vs up 0.3%). Those readings indicate consumers spent much more than anticipated last month. Softening the reaction to the data could be sizable downward revisions to May's sales that made previously announced declines larger. Today's increases make the data bad news for bonds and mortgage rates because consumer spending makes up almost 70% of the U.S. economy and the report is a sign of economic strength.

 

This week's calendar closed with the University of Michigan's preliminary Index of Consumer Sentiment that was released at 10:00 AM ET. It came in at 80.8, down from June's 85.5 and lower than forecasts. The lower reading means surveyed consumers did not feel as good about their own financial situations as they did last month. Because waning confidence usually means consumers are less likely to make large purchases that fuel economic growth, we can consider this report favorable for the bond market and mortgage rates. Unfortunately, the Retail Sales report carries much more significance than this report does.

 

Next week has far fewer economic reports and other events scheduled than this week did. Most of what is being posted is related to the housing sector and likely will not cause a major sell-off or rally in bonds. Monday has nothing of importance scheduled, meaning we can expect weekend news to drive trading that day. Look for details on next week's calendar 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 by T. Fanning on July 16th, 2021 5:40 PM

Hi, I hope you’re having a good week!

 

It was a fantastic week for rates, as we hit five month lows. Next week has reports that are expected to influence rates scheduled four of the five days, some of which are considered to be highly important to the markets. Monday is the only day without at least one economic release but it has a 10-year Treasury Note auction taking place that may come into play during afternoon trading. A couple of the scheduled events are inflation readings that will draw plenty of attention from the bond market, and therefore, may cause noticeable movement in rates.*

 

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 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, your friends/family/potential buyers/borrowers!


Last Updated: 7/9/21

 

Friday's bond market has opened well in negative territory with little to drive trading other than profit-taking. Stocks are showing strong gains to wrap up the week, pushing the Dow higher by 342 points and the Nasdaq up 30 points. The bond market is currently down 17/32 (1.24%), which should cause this morning's mortgage rates to be higher by approximately .125 - .250 of a discount point.

There is no relevant economic data set for release today. This morning's weakness in bonds does not come as a surprise. As mentioned in yesterday's update, today is a good opportunity for traders to sell some holdings to lock in profits from the recent rally in bonds. That doesn't necessarily signal the end of the downward move in yields and mortgage pricing though. It may just be a pause before traders decide which direction to go.

Next week has reports that are expected to influence rates scheduled four of the five days, some of which are considered to be highly important to the markets. Monday is the only day without at least one economic release but it has a 10-year Treasury Note auction taking place that may come into play during afternoon trading. A couple of the scheduled events are inflation readings that will draw plenty of attention from the bond market, and therefore, may cause noticeable movement in rates. 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 pl ace 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 by T. Fanning on July 9th, 2021 2:12 PM

TGIF!

 

We’re still getting loans done very quickly!  Call me if you’re frustrated with slow loan closings!

 

Rates were mostly lower this week (USDA and Jumbo had a very small increase). Next week is going to be an active week for the markets and mortgage rates. It brings us the release of five monthly economic reports, two of which are considered extremely important. There is nothing of importance set for release Monday, meaning we can expect weekend news to drive trading as the new week begins. The most important data is set for the latter days, when we will get the ISM manufacturing index and the almighty monthly Employment report.*

 

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 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, your friends/family/potential buyers/borrowers!


Last Updated: 7/2/21

 

Friday's bond market has opened in positive territory following mixed results in today's key economic report. Stocks are showing moderate gains, pushing the Dow up 27 points and the Nasdaq up 63 points. The bond market is currently up 4/32 (1.44%), which should allow this morning's mortgage rates to be lower than Thursday's early pricing by approximately .125 of a discount point.

 

June's Employment report was this morning's major economic release, giving us insight into the employment sector last month. It showed the unemployment rate moved higher 0.1% to 5.9% instead of lower as forecasts were calling for. Another headline number was the 850,000 jobs added back to the economy, exceeding the 680,000 that was expected. The higher unemployment rate is favorable news for bonds and rates while the stronger payroll number should be considered negative news.

 

Average earnings, which is a sign of wage inflation that bonds are particularly sensitive to, rose 0.3% when it was predicted to increase 0.4%. This is another bit of good news for the bond market, although it still shows wages are rising fairly quickly and keeps inflation in the economy as a point of concern.

 

Overall, the report gave us a mixed bag of readings. There was enough favorable news to prevent a sell-off in reaction to the large payroll number, but enough concern about the payroll number to restrict the bond rally this morning. It is important to know that bonds were set to open with gains even before this morning's report was posted, meaning a good portion of the early strength has nothing to do with the employment data.

 

Also released this morning was May's Factory Orders data. The Commerce Department announced a 1.7% jump in new orders for durable and non-durable goods, matching forecasts. The increase indicates growth in the manufacturing sector, but since there was no surprise in the report, it has had no impact on today's bond trading or mortgage pricing.

 

The bond market will close at 2:00 PM ET today ahead of Monday's Independence Day recognition. Stocks will have a full trading day today. All markets will be closed Monday and reopen for regular trading hours Tuesday. The holiday schedule could lead to a little pressure in bonds this afternoon as investors look to protect themselves over the long weekend. If they do make that move, we may see a slight increase in mortgage rates before closing, but it should not be a significant change.

 

Next week has very little scheduled that appears to be relevant to mortgage rates. The most notable event will be the release of the minutes from last month's FOMC meeting Wednesday afternoon. Look for details on what is scheduled 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

 

T. Fanning
Owner - Mortgage Consultant | Home Loan Mortgage
1101 Twin Peaks Cir, Longmont, CO 80503
Cell: 303-931-3239 | Fax: 303-684-0686
t@hlmcolorado.com | http://www.hlmcolorado.com
LO NMLS: 208694 | CO License: 100008854 | Company NMLS ID: 479289

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Posted by T. Fanning on July 2nd, 2021 1:23 PM

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