Interest Rates/Loan Limits
Effect of Higher Rates
With mortgage rates bouncing back into the mid-4s (with no points), JBREC published this article on the effect of higher rates on home sales: Mortgage rates have risen 1.0% or more ten times in the last 43 years, with little impact on home sales and prices when the...
Rising Mortgage Rates
Mortgage rates have risen almost one-half percent this year, and are around 4.50% with no points today (conforming and jumbo). Because rates haven't moved much in recent years, the half-point increase sounds dramatic, and could cause a few people to reach for the...
Mortgage Rates at 3-Year High
Another increase in rates today but the rate-setters for the mortgage companies have to be a bit gun-shy, and as a result, there is probably at least an 1/8 of a point priced in. Once we get past the Fed meeting that's underway and Trump's State of the Union...
Doom Ahead?
From Bloomberg.com - an excerpt: When real estate investors get this confident, money manager James Stack gets nervous. U.S. home prices are surging to new records. Homebuilder stocks last year outperformed all other groups. And bears? They’re now an endangered...
Kayla’s Open House Report
Mortgage rates went up 0.25% this week, which means someone who is borrowing $750,000 will be looking at an extra $109 per month. To put it in perspective, the payment goes up from $3,581 to $3,690. If that's comfortable payment, the extra bump isn't that big of a...
Fed Hikes, Mortgage Rates Drop
With the new Fed transparency, these rate hikes are telegraphed well in advance now and priced in by the market. Free enterprise is working - the competition between Chase, Wells Fargo, and Bank of America is keeping rates in check. BofA is quoting 3.875% and no...
NSDCC Upside Potential
Jumbo mortgage rates in the threes have helped to propel our higher-end market to new heights. Of the 854 houses for sale between La Jolla and Carlsbad, 757 of them - or 89% - are listed over $1,000,000! NSDCC Detached-Home Sales, Jan 1 - Aug 31 Year Total # of Sales...
Fed Raises, Mortgage Rates Drop
Rates are under 4.0%, no points! From MND: Mortgage rates fell convincingly today, though not all lenders adjusted rates sheets in proportion to the gains seen in bond markets (which underlie rate movement). Those gains came early, with this morning's economic data...
Fed Hikes, Mortgage Rates Lower
Mortgage rates fell at their fastest pace of the year following today's rate hike announcement from the Fed. If you're wondering why mortgage rates fell while the Fed's rate moved up, you're not alone. Fortunately, the explanation is simple. Financial markets had...
