mortgage rates tagged posts

Significant Life Events

What is the number one reason people move? Life’s milestones often serve as motivation for housing decisions. Whether it’s tying the knot, starting a family or pursuing career advancements, these pivotal moments ignite aspirations for stability and growth. These milestones contribute to a sustained and, at times, pent-up demand for a move.

Declining Mortgage Rates

Against the backdrop of life’s milestones, the changing mortgage rates have a considerable influence on housing demand. Declining mortgage rates, in particular, are a powerful stimulant, giving prospective buyers increased purchasing power and motivating them to enter the market...

Thanks to Mark Hines of Fidelity Bank for this episode of Tips from the Pros about mortgage rates.

Don’t forget Fidelity Bank Mortgage now has the lock and shop to insure the rate does not go up while searching for the home of their dreams. See attached.

Long term trend provided by Market Alert, Inc.

Some may be wondering where all the furloughed government workers claims for jobless benefits are?  As is normally the case with federal workers — they have a different system than the average Joe on the street.  There are more than 10,500 government employees who have sought benefits through the week ended January 5th, the latest period for which numbers are available.  

The federal jobless benefits are higher than those paid to ordinary citizens – but unlike regular citizen...

Thanks to Mark Hines of Fidelity Bank for this episode of Tips from the Pros about mortgages.

The Fed

As it now stands, the Fed has penciled in three 25 basis-point hikes in 2019.  However, the chances of those projected rate hikes actually seeing the light of day are declining rapidly.  While the Fed is expected to bump their short-term benchmark rates 25 basis points higher next week Wednesday — the futures markets are showing investors are now assigning 50-50 odds to the likelihood the Fed will raise rates even once in 2019. 

Believe it or not, the end of the tightening moves by the Fed is not particularly good news for the prospects of steady to lower mortgage interest rates...

Home mortgage rates

Thanks to Mark Hines of Fidelity Bank for this episode of Tips from the Pros about mortgages.

As most of you know FHLB (Federal Home Loan Bank) grant program ran out of funds in early October. The date funds will be available again for us to use is January 14, 2019. Fidelity Bank Mortgage again has $1,000,000 to use for its borrowers/buyers. Currently Baltimore County SELP still has funds and certainly MMP or the Maryland Mortgage Program.

More buyers are electing to build a new home as the inventory of existing homes is low. Fidelity Bank offers a 1 time close construction loan as well as the HomeStyle and FHA 203k renovation loans.

We are seeing less seller help on contracts and usually multiple offers resulting in a big win for sellers.

As always feel free to u...

Thanks to Mark Hines of Fidelity Bank for this episode of Tips from the Pros about mortgages.

As expected the Feds raised interest rates 25 bps to 5.25% on Wednesday, noting that job growth has been “strong” and inflation has been close to their 2.0% target.  In addition, a larger majority of members (12 up from 8 last meeting) now expect an additional 25 bps hike by year-end and three more hikes in 2019.

The Prime rate is for short term lending like revolving charge accounts and HELOC’s (Home Equity Line Of Credit). This also affects the construction loans that rely on the prime rate as their benchmark.

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Thanks to Mark Hines of Fidelity Bank for this episode of Tips from the Pros about mortgages.

It looks like last week everything leveled off a bit even in the wake of the possible collapse of Turkey’s economy. In US news, July Housing Starts +0.9%– Building Permits +1.5%.  Weekly jobless claims -2,000 to 212,000.  News is mortgage interest rate neutral.

As everyone knows by now FHLB is out of funds till January 2019.

There are other down payment assistance p[rograms that have funds to help 1^st time buyers. Feel free to reach out to me if you have questions on any of these valuable programs. Construction loans are becoming popular with the lack of inventory. I do have a one-time close construction loan...