The Home Loan Mortgage Blog

Weekly Update - 10/14/22

October 14th, 2022 4:31 PM by T. Fanning

Hello,

 

Inflation numbers came in higher, which sent interest rates up. Next week has a few moderately important economic reports scheduled along with a Treasury auction midweek. There is nothing of importance scheduled for Monday that we need to be concerned with. It looks like it may be a much quieter week for rates than we saw this week.*

 

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

 

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


Last Updated: 10/14/22

 

Friday's bond market has opened in negative territory, giving back some of yesterday's afternoon rally. Stocks are mixed with the Dow up 36 points and the Nasdaq down 94 points. The bond market is currently down 4/32 (3.96%), but strength late yesterday caused widespread intraday rate improvements. The size of this morning's change depends on how much of an increase you saw yesterday afternoon. We should see an improvement of approximately .250 of a discount point if compared to Thursday's early pricing.

 

 

The Commerce Department announced early this morning that September's retail level sales were unchanged from August, indicating consumers were cautious about spending money with inflation at a 40-year high. A secondary reading that excludes more costly and volatile auto transactions came in up 0.1%. The overall reading was expected to rise 0.2% while the ex-auto numbers were predicted to remain flat. Those readings are mixed with the overall being favorable for rates and the ex-auto increase being negative.

 

Also posted this morning was October's preliminary Consumer Sentiment index from the University of Michigan. They announced a 59.8 reading that exceeded forecasts of 58.8 and is an increase from September's 58.6. The increase means surveyed consumers feel a little better about their own financial situations than they did last month. Since rising sentiment usually translates into stronger consumer spending numbers that fuels economic growth, we can label this report as unfavorable for mortgage rates.

 

Next week has a few moderately important economic reports scheduled along with a Treasury auction midweek. There is nothing of importance scheduled for Monday that we need to be concerned with. It looks like it may be a much quieter week for rates than we saw this week. 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
                                                  

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 October 14th, 2022 4:31 PM

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