Tracking Mortgage Backed Securities Movement Recently....

By
Mortgage and Lending with Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 NMLS ID# 158606

The enclosed chart includes 4.0 and 4.5 MBS (mortgage backed securities) closing prices for the past 6-weeks. I don't recall ever seeing market deterioration of this magnitude in such a short period of time.  It's just amazing as there's really nothing to support this movement.  Needless to say, the ONLY THING that's been helping our economy is the mortgage industry.  NOW....the feds and free market are stopping that.  Do you know that the end of every recession was led by the surge of the mortgage and, invariably, real estate industry?  The government's going to have to act quickly otherwise we'll quickly be back to where we were back in October, November and December of last year. 

Look at the price swing.  The difference in price between the high/low during that period is:

4.0 Coupon Deteriorated 6.427 points

4.5 Coupon Deteriorated 4.828 points

 

Time

FNMA 30Yr  4.000 Jul.Close

FNMA 30Yr  4.500 Jul.Close

 

6/8/2009 0:00

93.4531

96.7969

Low

6/5/2009 0:00

94.6563

97.7031

 

6/4/2009 0:00

95.9375

98.8125

 

6/3/2009 0:00

97.1094

99.6406

 

6/2/2009 0:00

96.7344

99.3125

 

6/1/2009 0:00

96.4688

99.0781

 

5/29/2009 0:00

98.2188

100.422

 

5/28/2009 0:00

96.2969

98.8594

 

5/27/2009 0:00

97.0313

99.4688

 

5/26/2009 0:00

98.9531

100.922

 

5/22/2009 0:00

99.0781

101.078

 

5/21/2009 0:00

99.3281

101.266

 

5/20/2009 0:00

99.8281

101.594

 

5/19/2009 0:00

99.5781

101.375

 

5/18/2009 0:00

99.5625

101.359

 

5/15/2009 0:00

99.8281

101.563

 

5/14/2009 0:00

99.8906

101.625

High

5/13/2009 0:00

99.9063

101.625

 

5/12/2009 0:00

99.6406

101.359

 

5/11/2009 0:00

99.5781

101.281

 

5/8/2009 0:00

98.9688

100.828

 

5/7/2009 0:00

99.1094

101

 

5/6/2009 0:00

99.6406

101.344

 

5/5/2009 0:00

99.5313

101.234

 

5/4/2009 0:00

99.25

100.984

 

5/1/2009 0:00

99

100.844

 

4/30/2009 0:00

99.25

101.047

 

4/29/2009 0:00

99.5

101.203

 

4/28/2009 0:00

99.7656

101.438

 
Posted by

If you choose, you can find me here:

          Follow The Twittering Tweets on Twitter        Follow Bettag's Blabs on Facebook        Google Me If You'd Like        Follow Me On Linked In

 

Cherry Creek Mortgage Company       Path 2 Buy Certified Coach Follow me on Pinterest                 

                      NMLS ID#158606          Equal Housing Logo     An Illinois Residential Mortgage Licensee

 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
ActiveRain Community
Location:
Illinois Kane County Saint Charles
Groups:
Politics And Real Estate
Out Of The Box!
Almost Anything Goes
Crap
Local Expert
Tags:
mortgages
economy
rates
mortgage backed securities
economic news
economic data
economic markets

Spam prevention
Show All Comments
Rainer
295,611
Stephen Kappre
KW Hometown - Mantua, NJ
Helping You Home

The recent swing really has thrown a wrench into it all, both for refi's and for purchases. Doesn't help the housing situation at all.

Jun 09, 2009 01:07 AM #1
Rainer
39,427
David Daniels
Owner of FlyersToYou, Inc. and former Top Realtor - Hemet, CA

Larry,

My daughter's mom works for a mortgage company, and we were talking on the phone last night. She was telling me they had a bunch of refis which were in jeopardy of not closing now as a result of the market swing.

Well..I'm pretty sheltered from much of that nowadays, as I no longer sell real estate...and instead run a real estate marketing firm. But when I asked how much the market had turned in the last 30 days or so...she said almost a full percentage point in the interest rate!!! Huh???????

That's unbelievable, unimaginable....and if we're going to reover at all...seems a bit unnecessary. She said China is throwing in the towel as far as bonds, and thus to attract new investors, the rates HAD to go up?!

Sobering, isn't it?

She also mentioned that the loans in question weren't locked, as many of the lenders are not accepting locks nowadays until the appraisal is in, and that due to the whole appraisal management situaton, that's often not until the loan has already been there for some time. Ugh. Interesting time for all concerned.

Dave

Jun 09, 2009 02:21 AM #2
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Ambassador
896,135

Larry Bettag

Vice-President of National Production
What to know how to buy if you're a bit credit challenged?
*
*
*
*
Spam prevention

Additional Information