interest rates: Can Somebody Please Help Me Understand this Interest Rate Thing........ - 06/14/14 10:46 PM
 
  Interest rates move higher for the 2nd straight week
Frankly interest rates are starting to bore me. Interest rates are one of the very most important factors that control the direction the real estate market is heading. I watch them daily, have for years as they are that important. It was drilled into my head. But I am giving up. Somebody please help me understand.

We all know interest rates are closely tied to the 10 year Treasury note. We know the interest rate on the 10 year Treasury note is set by the Federal Reserve and then sold to bidders … (0 comments)

interest rates: Interest Rates Hit New 49 Week Low - 05/31/14 09:23 PM
It's a big old goofy world indeedGo figure. Four straight $10 billion dollar cuts. Monthly stimulus designed to lower interest rates slashed from $85 billion dollars each month to $45 billion dollars. The program designed to keep interest rates artificially low to spur the economy to new heights. The program is scheduled to end completely this year but so far interest rates do not see the need to go anywhere but the opposite direction that one would expect.No doubt when the stimulus began interest rates went down to all time historic lows and stayed down at funny money rates. Luckily for … (0 comments)

interest rates: Interest Rates Continue to Amaze - 05/09/14 09:25 PM
Back down to 27 week lowsThe Fed keeps cutting back on their monthly quantitative easing purchases of United States debt. And interest rates keep going lower. Go figure. Monthly purchases have been slashed by $40 billion dollars a month on a program designed to artificially keep interest rates at unheard of levels. Funny money levels. If something is put in place to lower interest rates and then is removed rates should go up. Shouldn't they?But as of this morning the average overnight rate on a 30 year fixed conforming loan sits at 4.21%. The most favorable rate borrowers have seen since … (0 comments)

interest rates: Interest Rate Changes Crazy Like a Yo-Yo - 04/26/14 10:01 PM

Perhaps the Fed should further cut their debt purchasesDown, up, down, up, down, up, down, up, down, up, down.  One needs to see it to believe it but for 11 straight weeks the action in the interest rate market has been a yo-yo. I get a chuckle reading some articles in the press over the past week that real estate sales have been down and one of the reasons is rising interest rates.Thankfully real estate sales in our area have been red hot but if they were down I am not sure you could put much blame on interest rates. As … (0 comments)

interest rates: Higher is Winning the Interest Rate Tug of War - 04/04/14 10:15 PM
The up/down trend continues for the 8th weekInterest rates on a 30 year fixed conforming loan moved higher this week with the average overnight rate reported by Bankrate sitting at 4.44%. This is after an eleven point move over the past week and brings rates up to the highest levels we have seen since back on January 12th.We live in a crazy world and the fact that rates are still sitting at these levels is puzzling. The Fed has slashed their monthly debt purchases by 35 billion dollars and rates really have not moved anywhere. For 8 straight weeks rates have … (0 comments)

interest rates: Interest Rates Move Lower.......Again - 03/29/14 11:30 PM
The "see-saw" on interest rates continue.For the 7th straight week the tug of war on interest rates goes back and forth. Up one week, down the next and it has been that way since the beginning of February. No direction as the Fed has reduced their debt purchases by 30 billion dollars a month but the wreck that is the world economy has people still buying the "safe" American bond instruments.It is still our belief that interest rates cannot go that far north from these levels as there is just no way we can pay the interest on out debt if … (0 comments)

interest rates: Interest Rates Move Higher After Fed Announcement - 03/22/14 07:44 PM
30 year conventional rates higher by 13 basis pointsThe Fed appears to be in turmoil with a divergence of views on what to do in order to head off a potentially catastrophic financial disaster. Janis Yellen may be wondering why she wanted this job and she might be wondering that for the foreseeable future.One thing is for sure, there is some obvious tension between Fed board members on what is the right course of action moving forward. Do they reduce their rein on interest rates and allow for some higher unemployment; one member says no as he argues these low interest … (27 comments)

interest rates: Will the TDP Hold Interest Rates Down for the Foreseeable Future - 03/10/14 06:18 AM
Big move over the past 7 days
Interest rates moved higher last week taking away the gains we have seen over the past seven weeks. The average overnight rate according to figures published by BankRate on a 30 year conforming loan jumped 8 points since last week and sit at 4.39% as of yesterday.All signs in historical figures would point to higher interest rates ahead which would be a real bummer for the real estate market. There is no doubt that the historically low interest rates we have enjoyed for the last 5 years have been a huge boost to the market … (0 comments)

interest rates: After Dropping for 8 Straight Weeks Interest Rates Move Higher - 02/22/14 09:07 PM

Biggest One Week Increase Since December 8thWe have to go all the way back to December 29th before finding another week where the average overnight interest rate on a fixed 30 year conforming loan moved higher. As of this morning the BankRate quotation is 4.35% up 8 basis points over the past week which erases all of the decline we have enjoyed over the past 4 weeks.The big news this week was Wednesday's release of minutes from the Fed's January meeting and the plan for additional reductions in their monthly debt purchase program. In Ben Bernanke's last meeting it was agreed … (1 comments)

interest rates: Interest Rates Drop for 6th Straight Week. Good News or Bad News? - 02/08/14 08:46 PM
 
Certainly depends on your perspectiveFor those out looking for a home who can lock in at the lowest interest rates we have seen for 13 weeks - good news. For businesses who are seeing growth and are capable of borrowing funds for expansion - good news. For those who for some reason have not already refinanced "old" loans to these historically low rates - good news. For investors who put their money in bonds during January - good news.But for those interested in a strong economy and strong job creation certainly bad news.Last week interest rates dropped once again. As … (0 comments)

interest rates: What do Interest Rates and Steely Dan Have in Common? - 02/01/14 09:05 PM
 
They both go back Jack and do it again
Those of you who know me, know I'm crazy about real estate. Those of you who know me well know that I am just as crazy about music. Good music, great music not Justin Bieber! The songs on my iPod start alphabetically with The Abyssinians and go to Zoot Sims with thousands of songs in between. I awoke this morning, and like I do most mornings turned on my laptop to get the day started. As always, iTunes was playing and I heard the classic song by Steely Dan from their … (4 comments)

interest rates: Once Again Interest Rates Move Lower - 01/25/14 08:26 PM
 
For the 4th straight week rates drop
The recent moves in interest rates are truly a conundrum as ever since the Fed started the 10 billion dollar monthly pullback in their bond purchases rates have dropped. Like clockwork each week since the first of the year rates have dipped lower each and every week.This morning the average overnight rate on a 30 year fixed rate as reported by Bankrate sits at 4.38% down another 4 basis points from last week and at the lowest rate we have seen since December 1st of last year.However, all signs point to this being … (0 comments)

interest rates: Interest Rates Drop for 3rd Straight Week - 01/19/14 11:21 PM
 

Fed Slows Bond Purchases and Rates DROP!For almost 5 long years the Federal Reserve has been buying various debt of the United States; over 3 trillion dollars worth with the intent of keeping interest rates at artificially low levels. And it is a program that has work as designed as we saw average overnight rates on a 30 year fixed mortgage drop to new historic lows during this period. Rates hovered in the mid to high 3% levels for a long time before jumping about a point when the Fed announced their intent last year to taper back on their … (0 comments)

interest rates: Interest Rates Hit New 129 Week High - 12/28/13 10:19 PM
Yield on 10 Year Treasury Bonds Hit 3%
Last week while everyone’s attention was focused on Santa Clause it may actually be the Grinch we should have been paying attention to. As of this morning the average overnight rate of a 30 year fixed conforming mortgage sits at 4.56% up 4 basis points from where we stood a week ago. While not a huge jump it was enough to push this number higher than we have seen since june 10th of 2011.
Next week the Fed starts their announced pullback on purchases or our debt from 85 billion per month to … (1 comments)

interest rates: Interest Rates Pull Back Slightly - 12/14/13 08:00 PM

Some good news on the interest rate front as the average overnight rate on a 30 year fixed conforming loan dropped last week to pull back from recent highs. Rate was down 4 basis points to 4.48% from 4.52%. Market was relatively quiet after the previous weeks move higher as a result of stronger than expected growth in the labor market.
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interest rates: Interest Rates Remain in Very Tight Range - 11/09/13 08:28 PM
 

Average overnight rate on a 30 year fixed conforming loan up 12 basis points

It has now been almost 2 months that the rate for conforming loans has stayed within a very tight trading range between 4.15% and 4.28%. The so called "experts" are evenly split on whether we will see rates rise from these levels or fall once again. All I know is if the Fed allows rates to return to normal levels of 6%+ it will make the interest payments on our national debt pretty much impossible to pay. Nobody can say for sure but the Fed is in … (1 comments)

interest rates: Interest Rates up for the 1st Time in over a Month - 10/12/13 08:15 PM
 
Interest rates increased for the first time in 5 week; up five basis points on the average overnight rate for a 30 year fixed mortgage to 4.3%. Watch for volatility this week as the US Government gets closer to the date when they will no longer be able to meet all of their financial obligations. We project that after more grandstanding the House and Senate will "pull a rabbit out" of their collective hats to approve a higher debt ceiling. If not watch for substantially higher rates a week from now.
 
 
 
 
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interest rates: Interest Rates Drop Again..... - 10/06/13 01:45 AM
Interest rates have dropped 4 weeks straight and as of this morning are at a 15 week low. The Fed and their "flip-flopping" remains the key and expect more volatility in the coming months.
Historically this morning's average overnight rate on a 30 year fixed mortgage of 4.25% is still a bargain and a fantastic time to find the perfect home and lock in a fixed long term loan. If I can be of help in any way please feel free to contact me for a complimentary consultation.  

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interest rates: Interest Rates Up Again for Record Breaking 9th Straight Week - 07/06/13 10:03 PM

 
 
Interest rates were a bit volatile and a few days ago I though I was going to be able to report a weekly drop for the first time in a long time. But the bond market remains weak and rates on a 30 year fixed mortgage are up again for a record breaking 9th week. Pretty amazing.....
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interest rates: Interest Rates Jump to a 2 Year High - 06/25/13 11:12 PM

Hard to believe it was only 3 days ago that we reported how interest rates had jumped 24% after a 7 straight week run of increases. So far this week they have jumped another 8% up to an average overnight rate for a 30 year fixed rate of 4.58%. Keep in mind this rate is lower than what almost anyone will qualify for so if out shopping for a mortgage expect to pay more.Rates have not been this high since July 10, 2011 and the wild ride to the upside continues. Back on May 5th if you qualified for a $450,000 … (2 comments)

 
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Tom Priester

Paradise Sharks

Jupiter, FL

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Address: 346 Country Club Drive, Tequesta, FL, 33469

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