Unemployment and Interest Rates Both Fall
This morning it was announced that the US added 243,000 more jobs in January, the most jobs added since March and April of 2011. Unemployment followed suit and dropped to 8.5%; marking January as the fifth consecutive month unemployment has fallen. With these stats exceeding economists’ expectations, the market got off to a great start.
To add onto the good news, mortgage rates dropped to the lowest they’ve ever been in the entire 40 year history of the Freddie Mac Primary Mortgage Market Survey, shortly after the president announced details about his proposal to enable millions of homeowners the chance to refinance. At this time last year, borrowers were ecstatic to get a rate around 4.8%, and today we find rates almost a whole point lower.