Economic News…was positive to start the week and mortgage rates continued to move higher. The last two major reports of the week reversed this trend and gave a much needed relief to interest rates which have been flirting with two year highs. Existing Home Sales for July posted a significant increase in all four US regions. The minutes from the Federal Open Market Committee confirmed the consensus that a wind down to quantitative easing is in the works. The market was calmed somewhat with the FED noting that it will chart a gradual approach to this change in the economic environment. Bonds firmed up at the end of the week with a disappointing Weekly Jobless Claims report coupled with a dismal showing in the New Home Sales figures.
Mortgage Markets…Bond yields and Mortgage Backed Securities reacted positively to the weaker news which ended the week. The 10 Year Note closed trading at 2.820% versus 2.828% last week.
Next Week’s Market Moving Reports…Monday: Durable Goods Orders Tuesday: S&P Case-Shiller Home Price Index, Consumer Confidence Wednesday: Pending Home Sales Index Thursday: GDP, Jobless Claims Friday: Personal Income & Outlays, Consumer Sentiment
While I do not originate mortgages, I make it a habit to keep abreast of market & home loan conditions. If you are thinking of purchasing a home the first step is to meet with a mortgage professional. I will gladly provide several top-notch Bay Area advisers for your review if you are in need of a referral.
California Bureau of Real Estate Broker Licenses 01165309 and 01190879
Any statistics were compiled from Public Records and other industry sources and are deemed reliable but not guaranteed. Any square footage quoted is approximate and requires buyer verification. It is illegal to discriminate against any person because of race, color, religion, sex, handicap, family status or national origin.
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