It sure seemed like there was plenty of extra buffer built into the recent mortgage rates. With the CPI report coming out more favorable than expected, the markets reacted - and boom, a half-point drop! If buyers get the feeling that both rates and prices are coming...
Hat tip to Garry and Rob Dawg who predicted that we'd hit 7% this year, for the first time in over 20 years! It was in April, 2002 that rates were over 7%, back when the NSDCC median sales price was $635,000. This month it's $2,075,000! Rates have never doubled this...
Graph from JBREC: Only 36% of current homeowners said they would move if rates were 5%+, Only 15% said they would move if rates were 6% or higher, and ONLY 7% OF CURRENT HOMEOWNERS WOULD MOVE IF RATES WERE 7% OR HIGHER. If the market of move-up and move-down buyers...
The Fed raises their rate by 0.75%, and what happens? That's right, the conforming 30-year fixed rate went down this afternoon. Chairman Powell said again that intends to cause a reset in the real estate market, but our rates really shouldn't go up much the rest of...
If rates would stay around 5% over the next four quarters, the market should digest it and get comfortable with the new era. But how reliable are these experts? After all, they are the mortgage business - shouldn't their forecasts be pretty close? Well, hmm, no:
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ Trying to predict what will happen to our local real estate market in the short-term? No surprise that mortgage rates will play a big role in how it plays out, and they have been extremely volatile lately. But it's just not...
After mortgage rates went over 6% again yesterday, the doomers will be burying the real estate market over the next few months. You can see why - rates have been dropping for a generation; for them to now go up from 3% to 6% in a few months is unprecedented for...
The Fed did what they said they were going to do and raised their fed funds rate target by another 0.75%. What happened to mortgage rates? They went down! Read the story here. Yes the -0.01% isn't much, but didn't every casual observer think mortgage rates were going...
The traditional spread between the 10-year Treasury Yield and the 30-yr fixed mortgage rate has been 1.75%. Today it is 2.7%, which sure makes it look like the next Fed increase is already priced in. This week, we will see if mortgage rates will moderate and stay in...
Rates have come down a lot over the last two days. Last week the conforming rates were into the 6s. The rates above are with no points, which should mean that you could get a jumbo rate in the mid-4s! https://www.mortgagenewsdaily.com/markets/mortgage-rates-06232022
