Mortgage Updates Before Monday:
Late Sunday it was reported by several news outlets that President Trump will hold back on adding new tariffs to Chinese goods due to the significant progress made in recent trade talks with China. While this might be good news for the economy it might push mortgage rates higher. Some believe the economy slowed late 2018 and into 2019 due to the trade tensions with China and the tariffs placed on Chinese goods. A resolution to this might mean the economy gets back on track and thus mortgage rates would most likely move higher. Others believe that the economy slowed due to a fundamental change in the economy despite the trade war with China.
We'll have to see what happens and how the Mortgage Backed Securities (MBS) market reacts to the news. We'll be sure to provide mortgage updates for all our clients and readers of koloans.com.
We'll be keeping on the bond market range (MBS and Treasuries) to see if this or future news will break the range we've been in since January. The top part of the range for the 10y Treasury has been 2.72% and the bottom has been 2.62%. The 10y Treasury does not set mortgage rates hovever it's the easiest thing for consumers to track and closely mirrors the movements we see in the Mortgage Backed Securities market. If the range is broken you might see a sharp move in mortgage rates.
JB Mortgage Capital, Inc.:
If you are looking to refinance your mortgage or if you are looking to purchase a home and need to get pre-approved please be sure to contact us directly for a no-cost/no-obligation quote. We offer industry low mortgage rates, personal one-on-one service and fast closings.