Market Review For The Week Ending 9/14/18

EQUITY INCREASE

Homeowners are in the money according to Black Knight Financial Services' (BKFS) latest Mortgage Monitor Report. BKFS says that the amount homeowners can borrow to keep their mortgages at or below 80% of the total value of their homes has reached an all-time high. "Tappable equity" grew by $256 billion in the second quarter and now totals $636 billion.

RATES RISE

Interest rates for 30-year fixed rate mortgages rose for the second consecutive week and are up three-quarters of a point over the same time last year according to Freddie Mac's Primary Mortgage Market Survey for the week ending September 6. Freddie notes that investors are optimistic about the economy's strength in spite of rising borrowing costs.

GENEROUS JOBS

The latest Job Openings and Labor Turnover Survey (JOLTS) from the U.S. Department of Labor showed open positions at a record high. While economists note that labor demand could lead to wage growth, there are also concerns that a lack of "worker supply" could slow overall economic growth.

FIDO FACTOR

A recent Realtor.com survey revealed the real decision-makers in the home buying process: 79% of respondents said they would pass on their dream home if it didn't work for their pet. Realtor.com Chief Economist Danielle Hale says, “It’s not terribly surprising that when pet owners are buying a home, their best friends get what they want."