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Mortgage Rate Update 4/10/13 Wednesday. Fed. Signals QE3 To End!

By Mike Hendrickson

Real Estate Agent with Premier Agent Network

April 10, 2013 04:55 AM

san luis obispo property

News that leaked out of the most recent Fed. notes implied that the Fed. is about ready to stop the QE3 bond buy backs and stop the low interest rates. What will that do? Well look for higher interest rates for mortgages in the future.

Also some very interesting news came out. The average America home owner is paying 37% less for their mortgage today than they were paying in the pre-housing bubble days prior to 2007. Another interesting fact is that the average home owner is paying 12.6% of their income for housing, and this is compared to 20% from the time period 1985-1999. So low interest rates for mortgages do make a big difference in the average persons standard of living. Thank you CNBC for these great statistic.

Go to my web site at www.myslohomefinder.com to see the homes available in San Luis Obispo, Atascadero, Paso Robles, Templeton, Arroyo Grande, Pismo Beach, and Grover Beach California.

What's up today: 10yr Treasury Auction and FOMC Minutes

The Fed posted the latest FOMC minutes early due to a premature release. Most participants saw QE as having a meaningful effect on the economy. Few saw QE risks outweighing the benefits, however, there is definitely a tone coming out of the Fed., that they are close to some sort of shift that would negatively impact their participation of bond markets. Maybe QE3 is going away earlier than expected.

Dow is trading at 14,791+117.02the 10 yr bond is at 1.78 from 1.73 Yesterday, . Currently mortgages are worse from Yesterday

Conv. - 3.5%

FHA. - 3.25%

Have a great week!!!

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