mortgage interest rates: Mid-Year Review : Were The Experts Right About The Market? - 07/08/11 08:28 PM
The year is half-over. It’s an opportune time to take stock of analyst predictions made at the start of the year, and to recognize that the “experts” can be wrong as often as they are right.
For as much experience and authority an expert brings to the conversation, though, nobody can accurately predict the future.
As such, there’s often disagreement.
Looking back to December, some housing analysts called for a market rebound this year; while others called for a fall. With respect to mortgages, some said rates had nowhere to go but up; while others expected more dips.
As a layperson, how do you know who will be right?
In … (2 comments)

mortgage interest rates: Jobs Data Expected To Have Added 80,000 Jobs In June! - 07/07/11 06:17 PM

Friday morning, at 8:30 AM ET, the Bureau of Labor Statistics releases its June Non-Farm Payrolls report. If you’re currently shopping for a mortgage, or floating a mortgage rate, be prepared. Mortgage rates can change following the monthly report’s release.
Often, by a lot.
More commonly called “the jobs report“, Non-Farm Payrolls reports on the U.S. workforce by sector, summarizing its findings in terms of total workforce size, and as a national Unemployment Rate. Jobs are considered a keystone in the continuing U.S. economic recovery. 
More working Americans means:
More consumer spending, a boost to businesses More tax collection, a boost … (4 comments)

mortgage interest rates: What To Know Before You Move To A New Neighborhood! - 07/06/11 05:11 PM
http://www.msnbc.msn.com/id/26184891/vp/43591720#43591720 (click here)
As home buyers in the Newport Coast area , we tend to research homes a lot. We look at square footage; at upgrades; at landscaping; at community statistics; and, at every other “number” on which we can get our hands.
But those are just statistics. What about the home’s “feel”? 
In this 5-minute piece from NBC’s The Today Show, you’ll learn a dozen complementary home-shopping techniques to help you review and evaluate a home for purchase. Each is focused on findings you won’t see listed on a website.
For example, instead of scheduling your second showing for the … (10 comments)

mortgage interest rates: Mortgage Rates, will they come back down? - 07/05/11 04:49 PM
Mortgage markets worsened last week as Wall Street’s renewed optimism pushed equities to their best one-week gain in 2 years. The change in  sentiment was bad news for rate shoppers, however, as investors pored into stocks at the expense of bonds.
Last week, for the first time since February, mortgage rates rose 5 days in a row. By the time bond markets closed for the 3-day weekend, conforming fixed mortgage rates in California had climbed to their worst levels since mid-May.
Mortgage rates are now at 7-week highs.
The biggest reason for last week’s mortgage rate turnaround is that lawmakers in … (1 comments)

mortgage interest rates: 5 YR ARM Falls To Historic Lows!! - 07/04/11 07:12 PM
The interest rate differential between fixed-rate and adjustable-rate mortgages continues to widen and has now reached historic levels.
There’s never been a better time to lock an ARM.
According to Freddie Mac’s weekly Primary Mortgage Market Survey, homeowners in Laguna Beach who lock their mortgage rate today will save 129 basis points on rate, on average, by choosing a 5-year ARM as their mortgage product as compared to a 30-year fixed rate loan.
The average 30-year fixed rate is 4.51%. The average 5-year ARM rate is 3.22%.
It’s the biggest interest rate spread between fixed-rate and adjustable-rate mortgage rates in Freddie … (3 comments)

mortgage interest rates: Pending Home Sales Unexpectedly Spike In May!! - 06/30/11 06:04 PM
The summer housing market is heating up.
According to data from the National Association of REALTORS®, the Pending Home Sales Index smashed analyst expectations, jumping 8 percent on a monthly basis in May. 
Wall Street calls were for an increase of just 0.5 percent. 
It was a surprise result that, coupled with the recent stronger-than-expected New Home Sales and Existing Home Sales readings, has sparked housing market optimism in California and nationwide.
The biggest reason for the optimism is because of what the Pending Home Sales Index measures. 
In contrast to “traditional” housing data which reports on how housing performed two … (4 comments)

mortgage interest rates: New Home Supplies Drop, And So Does Homebuilder Confidence! - 06/25/11 08:59 PM
On paper, the market for newly-built, single-family homes looks healthy.
Last month, the number of new homes sold on an annualized, seasonally-adjusted basis tallied 319,000. The May reading is the second-highest of the year, and 6 percent above the current 12-month average.
These are strong numbers in isolation. However, after accounting for the dwindling supply of new homes for sale as well, the figures look even stronger.
In May, at the current pace of sales, the complete, national inventory of new homes for sale would have been sold in just 6.2 months. 
That’s the quickest pace in a year and a … (0 comments)

mortgage interest rates: A Simple Explanation Of The Federal Reserve Statement (June 22, 2011 Edition) - 06/23/11 06:46 PM
Wednesday, the Federal Open Market Committee voted to leave the Fed Funds Rate unchanged within its current target range of 0.000-0.250 percent.
The vote was 10-0 — the fourth straight unanimous vote for the nation’s Central Bank.
In its press release, the FOMC said that the economy is recovering, although “somewhat more slowly” than what was expected. Labor markets have been weaker than anticipated and the Fed believes that is, in part, a result of higher food and energy costs, and supply chain disruptions as a result of “tragic events in Japan”.
Some economic bright spots identified by the Fed include … (0 comments)

mortgage interest rates: Homebuilder Confidence Slips To 9-Month Low - 06/22/11 05:35 PM
Despite rising new home sales and an increase in building permits nationwide, home builder confidence slipped to a 9-month low in June. The monthly Housing Market Index from the National Association of Homebuilders registered 13 this month — three ticks lower than last month, and its lowest level since September 2010.
June’s 3-point drop from May is the biggest one-month move since May 2010, the month after the expiration of the federal home buyer tax credit. The retreat could signal favorable pricing for new home buyers in Newport Coast in the months ahead.
When builders get less bullish on housing, they … (0 comments)

mortgage interest rates: Monthly Foreclosure Count Drops For 16th Straight Month! - 06/16/11 06:39 PM

Foreclosure rates are falling.
According to foreclosure-tracking firm RealtyTrac, monthly foreclosure filings fell 2 percent in May to just under 215,000 filings nationwide. A foreclosure filing is defined as any one of the following: a default notice, a scheduled auction, or a bank repossession.
On an annual basis, foreclosure counts have dropped over 16 consecutive months, dating back to January 2010.
Like all things in real estate, though, foreclosures are local. 6 states accounted for more than half of the country’s foreclosure filings in May. Those six states — California, Michigan, Arizona, Florida, Georgia and Texas — represent just 34% of the U.S. population.
But … (0 comments)

mortgage interest rates: Mortgage Rates take us on a Rollercoaster Ride! - 06/15/11 05:56 PM
The jobs market is recovering slower than expected, and so is housing. But neither condition has slowed U.S. consumers.
According to the Census Bureau, Retail Sales rose for the 11th straight month in May. Excluding cars and auto parts, sales receipts climbed to $322 billion last month. It’s an all-time high and another example of the U.S. economy’s resiliency.
Wall Street didn’t expect such results. As a result, mortgage rates worsened Tuesday.
By a lot.
The connection between Retail Sales and mortgage rates can be fairly tight in a recovering economy. Retail Sales accounts for almost half of all U.S. consumer spending, … (0 comments)

mortgage interest rates: Is This The Start Of A Refi Boom? - 06/14/11 04:36 PM

Mortgage rates are falling, falling, falling.
On a wave of uncertainty about Greece and its debt; and weaker-than-expected economic data at home, conforming 30-year fixed rate mortgage rates have fallen to levels not seen since December 2, 2010.
Mortgage rates have dropped 8 weeks in a row. Not even last year’s Refi Boom produced an 8-week winning streak. This season’s streak is historic.
The 30-year fixed rate mortgage now averages 4.49% nationally, down 42 basis points, or 0.42%, since early-April. For every $100,000 borrowed, that equates to a monthly savings of $25.24.
Adjustable-rate mortgages have shed even more, giving back … (1 comments)

mortgage interest rates: Mortgage Rates hit all time low! - 06/13/11 07:32 PM
Mortgage markets moved in feverish fashion last week, changing with extreme frequency, and eventually ending slightly worse on the week. Conforming mortgage rates fell to a 6-month low Wednesday but, by Friday, they had retreated higher.
Last week marked just the second time in 8 weeks that rates in Irvine increased. During that span, Freddie Mac reports that mortgage rates have dropped 42 basis points, or 0.42%.
That equates to a monthly savings of $25.24 per $100,000 borrowed.
One reason why mortgage rates have been dropping is that the economy is growing more slowly than projected. In a speech last week, Federal … (2 comments)

mortgage interest rates: Do You Know What Questions To Ask Your Lender? - 06/10/11 05:29 PM
 
A mortgage comes with many moving pieces and understanding them is the key getting a great deal. Unfortunately, studies show that few Americans have a firm grasp of how mortgages work — from mortgage types to mortgage fees.
In this back-to-basics interview on NBC’s The Today Show, you’ll learn some mortgage planning basics to help you get smarter with your next home loan in Newport Coast or anywhere else — purchase or refinance.
Some of the topics covered include:
The mortgage applicants for whom adjustable-rate mortgages are a better choice than fixed-rate mortgages Why you should include “How Good Is … (5 comments)

mortgage interest rates: Moving To A New City? See How Much Your Cost Of Living Will Change. - 06/09/11 04:03 PM
It’s a fact: It’s more expensive to live in some cities than others. Beyond just the costs of buying a home, different cities also carry a different Cost of Living. For households relocating from California and  across state lines, the change in “life costs” can be jarring.
Depending on where you live, everyday expenses — from groceries to gasoline — make a different-sized dent in a household budget. And now you can see in numbers by how much your expenses might change.
Visit Bankrate.com’s Cost of Living Comparison Calculator. 
The Cost of Living Comparison calculator is as basic as it is thorough. … (7 comments)

mortgage interest rates: Temporary Conforming Loan Limits Expire September 30, 2011. - 06/08/11 02:59 PM
If you live in a high-cost area, keep an eye on your calendar. Effective October 1, 2011, temporary conforming loan limits will be lowered nationwide. Perhaps by as much as 14 percent.
These limits range up to $729,750 currently.
“Temporary loan limits” were enacted as part of the government’s 2008 economic stimulus package. At the time, the financial sector was entering its crisis and private mortgage lending had all but disappeared. Financing was scarce for both homeowners and home buyers for whom loan sizes exceeded Fannie Mae and Freddie Mac’s national $417,000 limit — even for those with excellent credit and … (0 comments)

mortgage interest rates: Mortgage Interest Rates what are you doing? - 06/06/11 07:09 PM
Mortgage markets improved last week, carried by the same stories that have led markets better since April. Worries of a Eurozone sovereign debt default mounted, and the U.S. economy’s revival showed itself to be slower than originally anticipated.
In Greece, the nation readied itself for its second bailout in two years. The austerity measures of last year have not worked as planned. There are concerns that a default would lead to contagion, delivering the Euro region into an economic tailspin.
These fears spurred a flight-to-quality in bond circles to the benefit of U.S. mortgage rate shoppers.
In addition, last week’s U.S. jobs … (0 comments)

mortgage interest rates: Making A Rate-Lock Plan Before Friday’s Jobs Report! - 06/02/11 05:22 PM
Tomorrow morning, at 8:30 AM ET, the Bureau of Labor Statistics releases its Non-Farm Payrolls report for May. If you’re floating a mortgage rate right now — or are in the process of shopping for a loan — consider locking your rate sooner rather than later. The Non-Farm Payrolls report can be a major market mover, causing large fluctuations in both conforming and FHA mortgage rates in Laguna Beach. It’s because of the report’s insight into the U.S. economy. More commonly called “the jobs report”, Non-Farm Payrolls is issued monthly. Sector-by-sector, it details the U.S. workforce and unemployment rates. Jobs momentum … (0 comments)

mortgage interest rates: Mortgage Guidelines Start To Loosen At The Country’s Biggest Banks - 06/02/11 05:19 PM
Another quarter, another sign that mortgage lending may be easing nationwide.The Federal Reserve’s quarterly survey of senior loan officers revealed that an overwhelmingly majority of U.S. banks have stopped tightening mortgage requirements for “prime borrowers”.
A prime borrower is one with a well-documented credit history, high credit scores, and a low debt-to-income ratio.
Of the 53 responding “big banks”, 49 reported that mortgage guidelines were “basically unchanged” last quarter. Of the remaining four banks, two said mortgage guidelines had “eased somewhat”, and the remaining banks said guidelines “tightened somewhat”.
It’s the second straight quarter in which fewer than 5 percent of banks tightened guidelines, … (2 comments)

mortgage interest rates: How Much Lower Can Rates Go? - 05/31/11 06:04 PM
Mortgage markets improved last week ahead of Memorial Day and a 3-day weekend. Bond pricing ending the week higher, pushing conforming mortgage rates in California down for the 5th week out of six.
Most economic news reported worse-than-expected. Initial Jobless Claims increased sharply, GDP was unchanged, and Durable Orders posted the largest one-month decline since October. Each of these stories reduced inflationary pressures on the economy, contributing to lower mortgage rates.
However, the main driver for U.S. mortgage rates last week was Europe.
One year ago, Greece pledged to lower its spending, cut its deficit, and reduce the number of public … (1 comments)