The Home Loan Mortgage Blog

Weekly Update - 3/11/22

March 11th, 2022 11:18 AM by T. Fanning

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Hey, happy Friday,

 

Rates gave back the decrease from last week, ending higher. The week starts off light in terms of economic data with nothing scheduled for Monday. We can expect weekend geopolitical news from Ukraine to contribute to trading as the new week starts, but traders attention will likely be on the upcoming FOMC meeting that will also include revised economic projections.*

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.homeloanmortgageco.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: 3/11/22

 

Friday's bond market has opened down slightly as the benchmark bond yield tests 2.00% again. Stocks are mixed with the Dow up 128 points and the Nasdaq down 31 points. The bond market is currently down 2/32 (1.99%), which should keep this morning's mortgage rates fairly close to Thursday's early pricing.

 

Yesterday's 30-year Treasury Bond auction went much better than Wednesday's 10-year Note sale. Investor demand in yesterday's auction was fairly strong compared to Wednesday's average to slightly below average interest. Unfortunately, the sale results were not enough to offset the negative tone in bonds that started during early trading and gained momentum throughout the day. In other words, the strong auction was good news but not enough to help mortgage rates.

 

Today's only relevant data was the University of Michigan's Index of Consumer Sentiment for March at 10:00 AM ET. It came in at 59.7, falling short of the 62.0 that was expected and down from February's final reading. The lower reading indicates consumers are less confident in their personal financial and employment situations. Since waning confidence usually translates into softer consumer spending numbers, we can consider the release to be favorable for bonds and mortgage rates.

 

Next week certainly has a full schedule of events that may influence mortgage rates. They start with another important inflation reading Tuesday and a key consumer spending report Wednesday morning. The Fed is holding their FOMC meeting Tuesday and Wednesday that is widely expected to yield the first rate hike since late 2018. There is little doubt the Fed will make a move Wednesday to help control 40-year high inflation, but the size of the increase is being heavily debated.

 

The week starts off light in terms of economic data with nothing scheduled for Monday. We can expect weekend geopolitical news from Ukraine to contribute to trading as the new week starts, but traders attention will likely be on the upcoming FOMC meeting that will also include revised economic projections. Look for details on all of next week's mortgage rate-related 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.
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*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 March 11th, 2022 11:18 AM

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