Low mortgage rates have pushed the number of homeowners eligible for refinancing to record highs in July. Black Knight reports that there are 11.7 high quality borrowers who are refinance eligible across the nation, the highest since record tracking began in 2000. Refi-eligible means those who carry a credit score of 720 or above. Mortgage rates have plunged in 2019 by almost a full percentage point from 2018's highs.
The National Association of Realtors (NAR) reports that fixed mortgage rates could decline to 3.3% by year's end as the US economy slows. The lowest ever seen was 3.31% back in November of 2012. The NAR's chief economist Lawrence Yun made those comments soon after the weaker-than-expected Jobs Report for August was released last Friday. “Mortgage rates could fall to 3.3% before the year-end,” Yun said. “But lower rates may not help with affordability because home prices are re-accelerating higher, easily above the latest wage growth.”
There are no economic reports due for release while the rest of the week features inflation data from CPI and PPI, Retail Sales and Consumer Sentiment. The Treasury will sell a total of $78 billion notes and bonds this week beginning on Tuesday. The US stock markets kicked off the week with higher prices seen for the Dow, S&P, and NASDAQ due in part to easing trade tensions while fears a full-blown recession here in the US fade a bit.