Mortgage rates in the mid-3s in January should put some pep in the buyers' step. From MND: Regular readers know that we're fond of setting the weekly record straight in cases where day-to-day rate movements paint a drastically different picture than weekly surveys. ...
A reader on Twitter wondered how rising rates will affect the 2022 frenzy. Here's what is expected today: Under Chair Jerome Powell, the Federal Reserve is poised this week to execute a sharp turn toward tighter interest-rate policies with inflation accelerating and...
This forecast suggests that prices would still be cooking in 1Q22, but once the spring selling season gets rolling, the median prices will level off? It would take a flood of inventory to pull that off. They blame rising rates, but when that happens it usually causes...
From Mortgage News Daily - thank you: Mortgage rates were surprisingly steady today as the bond market reacted to a new policy announcement from the Fed. Perhaps "reacted" is the wrong word considering the market's response. Specifically, the bond market (which...
Add this to the list of reasons why demand is so hot..... For the first time since 1980, the cost of living is rising faster than the average mortgage rate. The Consumer Price Index for April tells us U.S. inflation is growing at a 4.2% annual pace, the largest jump...
Mortgage rates have settled down nicely, and are back in the high-2s for those home buyers who don't mind paying a half-point or so (those quoted above are with zero points paid). Not sure that it matters. Not sure that anything matters any more. I had a great...
Matthew makes the case here that the current uptick in mortgage rates may not affect home prices: There was a big rate spike at the end of 2016 that had no discernible effect on prices. This is notable because that rate spike was fueled by economic optimism as...
Thanks to just some guy' for sending in this article comparing prices, rates, and inflation: https://awealthofcommonsense.com/2021/03/what-if-housing-prices-arent-as-high-as-they-appear/ It's a feel-good idea that inflation and lower rates can ease the pain of...
One of these days, rates are going to matter. Today is probably not that day. But when we get close to 4%, then buyers are going to put on the brakes and expect sellers to do a little something for them, price-wise.
My theory this week to explain what's happening today? The ultra-low mortgage rates are the problem. Specifically, the decline in mortgage rates over the last two years have caused more of the existing homeowners to refinance, rather than move. In the graph above,...
