federal: The Fed lowers interest for the first time in 11 years - 08/05/19 11:11 AM
The Fed has lowered interest rates for the first time in 11 years. This comes as a consequence of several events, including the continuing pressure of the POTUS and the possibility of negative economic repercussions. The Federal Reserve hasn’t lowered these rates since the 2008 recession.
Jerome Powell, chairman of the Fed and leader of this new policy, promised that this sudden drop is one of many efforts to sustain “one of the longest economic expansions in the country’s history”.
Soon after Powell’s announcement, the market started seeing crazy movement on mortgage bonds and treasuries, a natural reaction. 
Powell promised to keep a careful … (1 comments)

federal: The Fed & the interest rates it controls. (Part II) - 03/26/19 08:54 AM
If the fed only controls the adjustable, fed fund rate, then what controls the long term fixed rate mortgages? The fixed rates move with the Mortgage Bond Market, which is Mortgage Backed Securities (MBS). You might ask “but aren’t fixed rates, fixed? How can they go up and down?” Fixed rates go up and down until you lock your loan during the mortgage approval process. So a 30 year fixed rate will move daily with the markets until you lock it for 15, 30, 45, or 60 days before closing. The fixed rates are very volatile (before locking) when left to … (0 comments)

federal: The Fed & the interest rates it controls. (Part I) - 03/25/19 02:33 PM
We hear mortgage professionals (mortgage brokers and mortgage lenders) misspeak all too often when attempting to educate the public on interest rates. These professionals hear “the Fed is raising rates”, and so they turn around a regurgitate what they hear, but they are telling the public that the Fed (aka US Federal Reserve) is raising the fixed rates most borrowers use when obtaining a home mortgage. This is completely incorrect, but sometimes they get lucky, like a broken clock is right 2 times per day. Let us dig deeper and learn the difference between the fed fund rate and the fixed … (1 comments)

Phil Stevenson, CRMP, "Mortgage Nerd" in Miami, Florida and Texas (PS Mortgage Lending 305-791-4874 or 888-845-6630) Rainmaker large

Phil Stevenson, CRMP

"Mortgage Nerd" in Miami, Florida and Texas

Miami, FL

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PS Mortgage Lending 305-791-4874 or 888-845-6630

Address: 14100 Palmetto Frontage Rd Ste 104, Miami Lakes, FL, 33016

Office: (888) 845-6630

Office: (305) 791-4874

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