Mortgage Rate Lock Advice 10/25 - Opportunity for rate watchers as this week's pricing opens favorably

Are you currently in the process of buying a home or refinancing in Chicago or vicinity? Trying to decide when to lock can be a stressful and difficult decision. In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible. Please see my recommendations below.

Short-term - LOCK if less than 7 days out from closing, but if between 7 and 15 days FLOATING with a cautionary monitoring of the markets could pay off.

Long-term - FLOAT

The week ahead for economic data that can affect mortgage interest rates

Tuesday

• Case/Schiller 20 City Home Price Index
• October Consumer Confidence Index
• $35 Billion 2 Year Treasury Auction

Wednesday

• MBA Mortgage Applications Report
• September Durable Goods
• September New Home Sales
• $35 Billion 5 Year Treasury Auction

Thursday

• Weekly Jobless Claims
• $29 Billion 7 Year Treasury Auction

Friday

• 3Q Advance GDP
• October Purchasing Managers Index
• $29 Billion 7 Year Treasury Auction
• University of Michigan Consumer Sentiment Index

Bank of America Concerns Drive Mortgage Rates Down, But Promising Housing Starts and Encouraging Earnings Reports Shorten The Rate Rally

As I began writing this week’s commentary, I realized I had exhausted my analogies for the ebb and flow of rates we have seen over the past months. That is until I thought back over the years to my Junior Year at West Point standing in a platform above a Long Island night spot with a bungee cord tied to my ankles preparing for the plunge. Then I remembered the jump into the void and the plummet to the bottom of my descent. As soon as I reached that point, I was pulled back violently into the air as the elastic reached its limit. Propelled to a new high-point, I again dropped. Up and down I went for several iterations with gravity and the bungee cords sending me up and down. This, more than anything I have written, describes our current volatile environment with competing forces pulling rates violently to and fro.

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Mortgage Rate Lock Advice 10/18 - Small Dip In Rates Marks Early Opportunity For Rate Shoppers

Are you currently in the process of buying a home or refinancing in Chicago or vicinity? Trying to decide when to lock can be a stressful and difficult decision. In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible. Please see my recommendations below.

Short-term - LOCK, As the recent gains are too good not to take advantage of

Long-term - FLOAT

The week ahead for economic data that can affect mortgage interest rates

Tuesday

• September Housing Starts

Wednesday

• MBA Mortgage Applications Report

Thursday

• Weekly Jobless Claims

Costs for Mortgages Rise Mildly Possibly Signaling End of Record Lows

The cost of mortgages took a minor beating this week after several days of favorable movement. You will notice that I refer to cost as opposed to rate. This is because rates moved little if at all, but rather the points required to secure the best rates increased and available surplus to credit back to clients to structure “no cost” loans decreased. In short, it cost more to get the same rate you could a week ago, but the rate was still very available.

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Mortgage Rate Lock Advice 10/12 - Rates begin the week strong, but the wise borrower should lock in now to exploit recent gains

Are you currently in the process of buying a home or refinancing in Chicago or vicinity? Trying to decide when to lock can be a stressful and difficult decision. In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible. Please see my recommendations below.

Short-term - LOCK, As the recent gains are too good not to take advantage of

Long-term - FLOAT

The week ahead for economic data that can affect mortgage interest rates

Tuesday

• 3 Year Treasury Auction
• Release of notes from 9/21 FOMC meeting

Wednesday

• 10 Year Treasury Auction
• MBA Mortgage Applications Report
• September Import/Export Pricing Report

Thursday

• 30 Year Treasury Auction
• Weekly Jobless Claims

Friday

• September Consumer Price Index
• September Retail Sales Report
• University of Michigan/Reuters Consumer Sentiment Index
• August Business Inventories

Mortgage Rate Lock Advice 10/4 - Rates beginning the week trending positive, but agility and quick reaction time are key

Are you currently in the process of buying a home or refinancing in Chicago or vicinity? Trying to decide when to lock can be a stressful and difficult decision. In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible. Please see my recommendations below.

Short-term - LOCK, For those 15 or more days out, you can FLOAT to take advantage of any improvements

Long-term - FLOAT

The week ahead for economic data that can affect mortgage interest rates.

Wednesday

• MBA Mortgage Weekly Application Report


• September ADP Employment Estimate

Thursday

• Weekly Jobless Claims


• August Consumer Credit

Friday

• September Employment Data


• August Wholesale Inventories

Another Up Down Week in the Market Ends with Mortgage Rates Up a Bit

For a week chock full of economic data, the trends this week generally matched those of the previous weeks. Early in the week, low numbers for consumer confidence brought rates to near record lows again for a short time, but this passed and positive news on consumer spending and unemployment numbers. For any action there is a reaction and this positive news was accompanied by a reaction that economic improvements could negatively shape Fed policy. Markets reacted with a 180-degree turn around and an easing of upward pressure on mortgage rates. While this did temper the increase, mortgage rates for Fannie Mae and Freddie Mac conforming loans did end up a slight bit.

Reposted from my blog post on The Chicago77.

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