Mortgage News

I’m dating myself with that comment but in reality when certain people speak, people or the Bonds listen.

Fed Presidents, Bullard, Logan and Ray Dalio’s warning the debt ceiling crisis could be “catastrophic” to the economy.

Powell will speak at 11am ET (8 am PT for us on the West Coast). The odds of a rate hike went from near zero to 40% today.

Waiting for the Used Car market to drop. You may have to wait.

It is finally Friday, what a week. Have a fantastic weekend and always feel free to reach out anytime.

Pace of wage growth not consistent with 2% inflation. Fed- Jefferson

He also noted that wage growth is still strong and will remain that way through the end of the year.

The Bond market is up, which translates to higher rates. The graph below shows the movement of the last 30 days. Down is higher rates. This is about a .250 swing.

I will be at the Palm Springs Affiliate Showcase. Hope to see you .

Sellers are holding on to their 3.50% interest rate (or lower) even if they don’t like their home. If the interest rate was 5%, it’s only 15% higher than your 3.5% mortgage. Numbers are magical if you don’t dig a little deeper to understand.

Gold is the most non-reactive of all metals and does not rust. Gold is so pliable that it can be made into sewing thread. Gold can conduct heat and electricity.

You ask, Hey Jack, what is the boiling point of gold. Well it’s 5,086 degrees Fahrenheit.

It’s Wednesday, half way through the week.

I am going to keep today light and fun.

Us workers are feeling very content according to the annual survey from the Conference Board, putting the job satisfaction at 62.3% in 2022.

The greatest satisfaction is “experience of work” factors that include work/life balance.

What’s in a name?

The Social Security Administration published its annual list of the most common baby names in the US.

Have a fantastic rest of your week.

The Federal Housing Finance Agency (FHFA) announced that it has rescinded the upfront fees based on borrowers’ DTI ratios/credit scores for loans acquired by Fannie Mae and Freddie Mac.

Rates starting the day are down from Friday. See graph below. down is higher rates. The movement only represents about a 0.125-0.250 change in rate.

Monday Monday…. Make it a great week.

There is some interesting chatter in the Mortgage News channels and broadcasts that the Feds might know what they are doing and we will have a soft landing.

Time will tell.

Its Friday and the middle of May already. Have a fantastic weekend and always happy to take your call, email or txt.

The April Producer Price Index or PPI is a measure of wholesale inflation, while the Consumer Price Index CPI measures the Price paid by consumers.

We are seeing a different take from the Producer or Manufacturer regarding inflation.

Overall producer inflation increased 0.2%, less than the expected 0.3%. Our year over year has declined from 2.7% to 2.3%. This is huge and very good news. The Peak was 11.7%.

We are seeing rate improvement as expected. Have a great rest of your week.

 The Consumer Price Index (CPI) Which measures inflation on the consumer level, reported at 0.4% inline with expectations and more importantly a decrease in inflation or 0.1% to 4.9% year over year.

I often get phone calls with the same question “what are rates today”

This is what we look at everyday. Green is rate improvement, Red the opposite. What is fascinating is how cyclical it is (UMBS 30yr 5.5% chart). Up is lower rates.

If I keep looking back, let’s say 6 months, I get this chart.

It’s not just what’s the rate, it’s when is the rate, when should I lock, or should I float for a few days. Ask your lender these hard questions, then ask me and let’s see what the difference is.

Its Wednesday, headed to a Real Estate weekly meeting this morning.

Tomorrow Morning the highly anticipated April Consumer Price Index report will be released.

This could be the beginning of when we feel inflation would start to make additional progress and potentially a rate drop.

Year over Year inflation numbers means we are replacing last year’s April 2022 with this year’s April 2023 number. If this year’s inflation number is lower than last year’s April inflation number, the total inflation calculation will go down.

Sunday evening, JPM Chase and Goldman Sachs released their estimates and they felt inflation reading would not see much of a change.

Below is the buyer activity survey.

Have a great rest of your week.

Coco Chanel once described luxury as “a necessity that begins where necessity ends” — a maddening phrase for any old-school economists whose models can’t understand why people spend $30,000 on a timepiece that tells the same time as a $30 watch. The answer, of course, is a combination of two very human things: because they can, and because it feels good. -Chartr

Have a fantastic week and always feel free to reach out anytime.