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Mortgage Rate Update 1-19-12: Trends, Projections & Today's Lowest Rates

By
Mortgage and Lending with CMG Mortgage, San Diego, CA NMLS 259027

What are California's best mortgage rates? What can we expect from mortgage rates in the new year? All Real Estate Professionals & Consumers are advised to stay informed about interest rates and learn THE TRUTH BEHIND MORTGAGE QUOTES. Whether you're a newbee, market analyst (or somewhere in between), keep yourself informed of where mortgage interest rates are going (and why).

Mortgage Street Smarts - Daily interest rate updates, daily mortgage rate projections, mortgage quotes, featuring todays best mortgage rates. Provided by San Diego Residential Mortgage Specialist Jason E Gordon, CMPS, Direct Lender, Mortgage Broker, San Diego, CA. Visit www.MortgageStreetSmarts.com for free online mortgage calculator, no hassle mortgage quote, and secure online mortgage loan application.

The Mortgage Street Smarts of where mortgage interest rates are going (and why):

The following information is current as of Thursday 1-19-2012 and will help you understand todays best mortgage rates. If you are a Buyer/Borrower who is still on the fence (or if you are a Real Estate Agent attempting to educate your "on the fence" Buyer), please review these trends and secure an historically low interest rate before it is too late.

The market closed Wednesday with a WORSENING to pricing (and will typically warrant a pricing adjustment by most Lenders). Wednesday's WORSENING resulted in a change of 15 basis points (bps).

Today's Lowest Interest Rates - San Diego Residential Mortgage Specialist - Jason E Gordon - www.ApprovingSD.com
 

The following chart shows the market activity for today (hint: upward activity is good, downward activity is bad):

Today's Lowest Interest Rates - San Diego Residential Mortgage Specialist - Jason E Gordon - www.ApprovingSD.com

The following chart shows market activity over the past 10 days (hint: green is good, red is bad):

 Today's Lowest Interest Rates - San Diego Residential Mortgage Specialist - Jason E Gordon - www.ApprovingSD.com

The following chart shows market activity over the past 1 month:

Today's Lowest Interest Rates - San Diego Residential Mortgage Specialist - Jason E Gordon - www.ApprovingSD.com
 

Daily Interest Rate Snapshot (sample of rates from one of the country's largest Lenders...individual pricing will vary based on specific Borrower qualifications): NOTE: This Lender has quoted a 1.00% Origination Fee (1 Point) to accompany this pricing. It bears noting that this chart does not necessarily represent todays best mortgage rates.

Today's Lowest Interest Rates - San Diego Residential Mortgage Specialist - Jason E Gordon - www.ApprovingSD.com

Market Commentary

Market Analyst: Neil Trenerry

FNMA 30-Yr 3.5%

Previous close 103.000

Opened Down 0.06 @ 102.938

 

Key Economic Data:

EUR / USD   1.2893  Up  0.0030
USD / JPY  76.8835  Up  0.0585
GBP / USD  1.5438  Down  0.0001

Oil   101.78   Up   1.19

Gold   1,658.40   Down   1.50


Key Economic News:

 

Unemployment Improves.

Initial claims: 352k, Consensus 392k.

Continuing claims: 3.432m, Consensus 3.590m.

 

Building Starts and Permits down.

Starts (MOM): 0.657m, Consensus 0.690m.

Permits (MOM): 0.679m, Consensus 0.680m.

 

Consumer Price Index.

Index (MOM): 0.0%, Consensus +0.1%.

Index (YOY): +3.0%, Consensus +3.1%.

Index Ex Food & Energy (MOM): +0.1%, Consensus +0.1%.

Index Ex Food & Energy (YOY): +2.2%, Consensus +2.2%.

 

 

Advice:

 

With the Improvement in the unemployment numbers and Consumer Price Index, I would expect the market to weaken, even with the building starts and permits coming in lower.

 

My position on MBS changes to neutral ( Sell long position).

Market Analyst: Dan Rawitch:

Here is the link to today's video http://ratewatch.com/ratewatchnow.html

Quite the mixed bag of news today...Bonds being dragged down by:

* Technicals- this market was overbought
*Jobless Claims
*Great Auctions in Spain and France

I am not sure this correction is over and can see testing 102 on the 3.5's.  For now, watch 2% yield on the 10 year.  If we hold that, we could avoid the rest of the MBS sell off.

Trusted Industry Advisor

The above information was compiled and distributed by San Diego Residential Mortgage Specialist, Jason E Gordon. As a Certified Mortgage Planning Specialist (CMPS) Certified Distressed Property Expert (CDPE) and Certified Mortgage Coach (CMC), Jason E Gordon utilizes his advanced training to examine a prospective Client's complete financial picture, while carefully listening to their overall goals. If it is mutually agreed that a new loan makes sense to pursue, Jason strives to make the entire loan process as seamless as possible. He truly believes that providing open communication and patient educational guidance to his Clients and Business Alliances has been a pivotal component to building his business, while enhancing his reputation in the Mortgage Industry as a Trusted Advisor. Visit www.jasonegordon.com or www.ApprovingSD.com or more information.

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