Rates went up late last week – not much, but still they moved higher. An improving outlook for global economic growth caused investors to shift assets from bonds to stocks, reducing demand for long-term fixed-rate assets including mortgage-backed securities (MBS). We are still in a range for today’s best mortgage rates that is considered “historic low mortgage rates.”
The global economic data released last week was encouraging. Important manufacturing reports in Europe and China exceeded expectations. In the US, the Jobless Claims surprised investors for the second straight week. There is also a growing sense that the worst of the debt troubles for the European Union have passed. Stock markets around the world are hitting multi-year highs.
The Housing data released last week also reflected solid year over year improvement. December Existing Home Sales were 13% higher than one year ago, to the highest level since 2007. READ – NOW is the time to buy a house. Home Sales prices are going up in North Carolina, and Raleigh and Cary in particular, as the number of houses available to purchase is declining in multiple price points. First Time Home Buyers wanting to take advantage of the new NC First Time Homebuyer Programs are having trouble finding that “right” house as multiple offers are being made on the same properties.This week will be packed with major economic news that could affect Today’s Best Mortgage Rates… #justsayin
The biggest story will be Wednesday’s Fed meeting, as investors watch for hints about the duration of the Fed’s bond-buying program. This program is called “Quantitative Easing” or QE and it is why mortgage rates are staying so low. So any comments from this that they might think the economy is doing “WELL” would send today’s best mortgage rates higher – quickly!
The biggest economic report next week will be the important Employment data on Friday.Additionally (but not really as important) will be ISM Manufacturing and Construction Spending also scheduled out for Friday. As usual, this data on the number of jobs, the Unemployment Rate, and wage inflation will be the most highly anticipated economic data of the month.
Fourth quarter GDP will come out on Wednesday. Personal Income, Core PCE inflation, and Chicago PMI will be released on Thursday.
If you are looking for today’s best mortgage rates – call Steve and Eleanor Thorne 919 649 5058. We follow the market, we offer the best programs – and we are willing to look at your mortgage qualifying situation from every angle to make your Dream Home a Reality!