May 17, 2010
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
Foreclosure Rates Fall:
The most recent sign of growth in the housing industry comes from a new report released by RealtyTrac. They reported that foreclosures in the U.S. fell by more than 2% in April from a year earlier. The great news is that this is the very first year-over-year decline since the housing crisis began.
RealtyTrac's index fell 9% from March 2010 to April 2010 and 2.4% from April 2009 to April 2010. This data shows that the foreclosure situation is slowing and may have already hit a plateau. Currently, 1 out of 387 homes are in foreclosure. That means that 386 out of 387 homes are not in foreclosure!
Consumer Sentiment Strong:
The University of Michigan's Consumer Sentiment Index rose to its best levels since our Recession began. This is very important because housing demand is very clearly tied with how consumers feel about economic conditions and their own financial outlook.
Consumer Sentiment rose to 73.3 in May, up from the April reading of 72.2. Buried within this report were two other nuggets: The survey showed that the consumer inflation expectation index rose to 3.1% which is the highest reading since June of 2009. Inflation naturally causes mortgage rates to increase, so we need to keep an eye on this.
The survey's gauge of current economic conditions edged upward to a very high 81.1 and the barometer of consumer expectations also rose in May to 68.3.
What Happened to Rates Last Week:
Mortgage backed securities (MBS) gained +7 basis points last week which caused 30 year fixed rates to decrease for both government and conventional loans to their best levels of 2010. MBS pricing increased (which causes mortgage rates to go down) due primarily to Greece. Although there is over $1 trillion that has been made available through loans by the IMF, the European Union, and individual countries in the EU, most economists are skeptical that it is enough to stem the tide. The global uncertainty causes investors to park their money into U.S. treasuries and MBS. This artificial (and temporary) demand helped to push mortgage rates down after a very volatile week.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
17-May 9:00 Net Long-Term TIC Flows Feb
18-May 8:30 Building Permits Apr
18-May 8:30 Core PPI Apr
18-May 8:30 Housing Starts Apr
18-May 8:30 PPI Apr
19-May 8:30 Core CPI Apr
19-May 8:30 CPI Apr
19-May 10:30 Crude Inventories 15-May
20-May 8:30 Continuing Claims 15-May
20-May 8:30 Initial Claims 15-May
20-May 10:00 Leading Indicators Apr
20-May 10:00 Philadelphia Fed May
It is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
Monday, May 17, 2010
Monday, April 26, 2010
April 26th, 2010
April 26, 2010
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
Home Sales Surge:
Two new reports were released that showed a strong surge in home sales. Existing Home Sales rose more than expected in March, reversing three months of declines. Kicking off what is expected to be a strong Spring selling session.
The National Association of Realtors reported that sales of previously occupied homes rose 6.8 percent to a seasonally adjusted annual rate of 5.35 million units. This is the highest level since December. The nationwide median home price was slightly higher than a year earlier at $170,700.
In a separate report, the Commerce Department said new home sales surged higher by 27%. They reported that new home sales rose in March to an annualized rate of 411,000 units. It was the strongest month since last July and the biggest monthly increase in 47 years.
More Economic Growth:
Initial Jobless Claims fell for the first time in three weeks as new filings for state unemployment benefits dropped 24,000. Many market analysts expect that we will continue to see improvement in the labor market over the coming weeks.
Durable Goods Orders (long-lasting U.S. manufactured goods - for example: an oven) moved upward sharply. Orders for items (excluding transportation and defense) jumped 2.8% last month. This is the largest rise since December 2007. This coincides with the very strong manufacturing data that we have been seeing. This shows that personal and business consumption is on the rise and is very good news for the economy.
What Happened to Rates Last Week:
Mortgage backed securities (MBS) lost -40 basis points last week which caused 30 year fixed rates to increase for both government and conventional loans to their highest levels in two weeks. MBS pricing decreased (which causes mortgage rates to rise) due to strong economic data such as Initial Jobless Claims, very strong housing data, and Durable Goods Orders. Positive economic news is great for consumers but long term bonds such as mortgage backed securities react negatively due to the increased potential of inflation.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
27-Apr 9:00 Case-Shiller 20-city Index (y/y) Feb
27-Apr 10:00 Consumer Confidence Apr
28-Apr 10:30 Crude Inventories 24-Apr
28-Apr 14:15 FOMC Rate Decision 28-Apr
29-Apr 8:30 Continuing Claims 17-Apr
29-Apr 8:30 Initial Claims 24-Apr
30-Apr 8:30 GDP-Adv. Q1
30-Apr 8:30 Chain Deflator-Adv. Q1
30-Apr 8:30 Employment Cost Index Q1
30-Apr 9:45 Chicago PMI Apr
30-Apr 9:55 Mich Sentiment Apr
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
Home Sales Surge:
Two new reports were released that showed a strong surge in home sales. Existing Home Sales rose more than expected in March, reversing three months of declines. Kicking off what is expected to be a strong Spring selling session.
The National Association of Realtors reported that sales of previously occupied homes rose 6.8 percent to a seasonally adjusted annual rate of 5.35 million units. This is the highest level since December. The nationwide median home price was slightly higher than a year earlier at $170,700.
In a separate report, the Commerce Department said new home sales surged higher by 27%. They reported that new home sales rose in March to an annualized rate of 411,000 units. It was the strongest month since last July and the biggest monthly increase in 47 years.
More Economic Growth:
Initial Jobless Claims fell for the first time in three weeks as new filings for state unemployment benefits dropped 24,000. Many market analysts expect that we will continue to see improvement in the labor market over the coming weeks.
Durable Goods Orders (long-lasting U.S. manufactured goods - for example: an oven) moved upward sharply. Orders for items (excluding transportation and defense) jumped 2.8% last month. This is the largest rise since December 2007. This coincides with the very strong manufacturing data that we have been seeing. This shows that personal and business consumption is on the rise and is very good news for the economy.
What Happened to Rates Last Week:
Mortgage backed securities (MBS) lost -40 basis points last week which caused 30 year fixed rates to increase for both government and conventional loans to their highest levels in two weeks. MBS pricing decreased (which causes mortgage rates to rise) due to strong economic data such as Initial Jobless Claims, very strong housing data, and Durable Goods Orders. Positive economic news is great for consumers but long term bonds such as mortgage backed securities react negatively due to the increased potential of inflation.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
27-Apr 9:00 Case-Shiller 20-city Index (y/y) Feb
27-Apr 10:00 Consumer Confidence Apr
28-Apr 10:30 Crude Inventories 24-Apr
28-Apr 14:15 FOMC Rate Decision 28-Apr
29-Apr 8:30 Continuing Claims 17-Apr
29-Apr 8:30 Initial Claims 24-Apr
30-Apr 8:30 GDP-Adv. Q1
30-Apr 8:30 Chain Deflator-Adv. Q1
30-Apr 8:30 Employment Cost Index Q1
30-Apr 9:45 Chicago PMI Apr
30-Apr 9:55 Mich Sentiment Apr
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
Monday, April 19, 2010
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
New Housing Index Reaches Best Level in 2 Years:
The National Association of Home Builders announced that their Housing Market Index which measures builder's sentiment and outlook for the industry jumped 5 points in April to a reading of 19. This is the highest reading in 24 months. The survey of 417 residential developers also showed that foot traffic from prospective buyers rose 4 points.
In a separate report, nationwide housing starts rose for the third consecutive month to a seasonally adjusted 626,000 units according to the U.S. Commerce Department. Requests for new housing permits also rose. They increased to an annual rate of 685,000 units.
Federal Reserve Report Shows Economic Strength:
The Federal Reserve released their Beige Book last week. This report (named for the color of its binder) showed that "economic activity increased somewhat" in 11 out of 12 federal districts.
The results of the Fed's new survey is consistent with chairman Ben Bernanke's view that a modest recovery is unfolding, although it won't be strong enough to materially drive down unemployment rates for some time.
The new survey suggested that consumers, whose spending accounts for 70 percent of national activity, are doing their part to keep the recovery going. Retailers in most parts of the country reported sales increases and merchants were "cautiously optimistic regarding future sales".
What Happened to Rates Last Week:
Mortgage backed securities (MBS) gained +44 basis points last week which caused 30 year fixed rates to decrease for both government and conventional loans. MBS pricing improved due to a weak Consumer Sentiment report, a jump in Initial Weekly Jobless Claims, continued concern over Greece's solvency and a massive market shake-up that resulted from the new Goldman-Sachs charges.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
19-Apr 10:00 Leading Indicators Mar
21-Apr 10:30 Crude Inventories 17-Apr
22-Apr 8:30 Initial Claims 17-Apr
22-Apr 8:30 Continuing Claims 10-Apr
22-Apr 8:30 PPI Mar
22-Apr 8:30 Core PPI Mar
22-Apr 10:00 Existing Home Sales Mar
22-Apr 10:00 FHFA Home Price Index Feb
23-Apr 8:30 Durable Orders Mar
23-Apr 8:30 Durable Orders ex auto Mar
23-Apr 10:00 New Home Sales Mar
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
New Housing Index Reaches Best Level in 2 Years:
The National Association of Home Builders announced that their Housing Market Index which measures builder's sentiment and outlook for the industry jumped 5 points in April to a reading of 19. This is the highest reading in 24 months. The survey of 417 residential developers also showed that foot traffic from prospective buyers rose 4 points.
In a separate report, nationwide housing starts rose for the third consecutive month to a seasonally adjusted 626,000 units according to the U.S. Commerce Department. Requests for new housing permits also rose. They increased to an annual rate of 685,000 units.
Federal Reserve Report Shows Economic Strength:
The Federal Reserve released their Beige Book last week. This report (named for the color of its binder) showed that "economic activity increased somewhat" in 11 out of 12 federal districts.
The results of the Fed's new survey is consistent with chairman Ben Bernanke's view that a modest recovery is unfolding, although it won't be strong enough to materially drive down unemployment rates for some time.
The new survey suggested that consumers, whose spending accounts for 70 percent of national activity, are doing their part to keep the recovery going. Retailers in most parts of the country reported sales increases and merchants were "cautiously optimistic regarding future sales".
What Happened to Rates Last Week:
Mortgage backed securities (MBS) gained +44 basis points last week which caused 30 year fixed rates to decrease for both government and conventional loans. MBS pricing improved due to a weak Consumer Sentiment report, a jump in Initial Weekly Jobless Claims, continued concern over Greece's solvency and a massive market shake-up that resulted from the new Goldman-Sachs charges.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
19-Apr 10:00 Leading Indicators Mar
21-Apr 10:30 Crude Inventories 17-Apr
22-Apr 8:30 Initial Claims 17-Apr
22-Apr 8:30 Continuing Claims 10-Apr
22-Apr 8:30 PPI Mar
22-Apr 8:30 Core PPI Mar
22-Apr 10:00 Existing Home Sales Mar
22-Apr 10:00 FHFA Home Price Index Feb
23-Apr 8:30 Durable Orders Mar
23-Apr 8:30 Durable Orders ex auto Mar
23-Apr 10:00 New Home Sales Mar
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
Monday, April 12, 2010
April 12, 2010
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
Most Americans Say Now Is The Time To Buy:
A new Fannie Mae survey showed that nearly two-thirds of Americans think the time is right to buy a house, with a majority believing prices will be the same or higher over the next year.
The 64 percent that said it is a good time buy is just shy of the 66 percent that said the same thing back in 2003 as the U.S. housing market was racing higher, said the survey.
In a separate report, Pending Home Sales rose sharply in February. The National Association of Realtors reported that contracts for pending sales of previously owned homes rose 8.2 percent. First-time home buyers need to sign a contract before the end of April and close the transaction before the end of June to be eligible for the $8,000 tax credit. Clearly, there is a rush to take advantage of this with many Realtors reporting multiple offers on a single home. Buyers who are selling a home and purchasing a different one are eligible for a $6,500 tax credit.
Subprime Delinquencies Fall For First Time In 4 Years:
Subprime mortgages are simply loans that did meet Fannie Mae, Freddie Mac, FHA, or VA standards. The massive onslaught of subprime delinquencies was one of the main culprits in our housing slump. So it is great news that for the first time in 44 months, delinquencies bucked their trend and actually improved to the best levels in 2 years.
With Unemployment decreasing, delinquencies falling and home prices increasing, this could shape up to be a much better Spring/Summer housing market than last year.
What Happened to Rates Last Week:
Mortgage backed securities (MBS) gained +88 basis points last week which caused 30 year fixed rates to decrease for both government and conventional loans, but rates are still higher than two weeks ago which is a level that we are unlikely to see again this year.
We benefited from a strong 10 year Treasury auction, weaker Initial Jobless Claims, and global concern over Greece.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
12-Apr 14:00 Treasury Budget Mar
13-Apr 8:30 Export Prices ex-ag. Mar
13-Apr 8:30 Import Prices ex-oil Mar
13-Apr 8:30 Trade Balance Feb
14-Apr 8:30 CPI Mar
14-Apr 8:30 Core CPI Mar
14-Apr 8:30 Retail Sales Mar
14-Apr 8:30 Retail Sales ex-auto Mar
14-Apr 10:00 Business Inventories Feb
14-Apr 10:30 Crude Inventories 10-Apr
14-Apr 14:00 Fed's Beige Book Apr
15-Apr 8:30 Continuing Claims 3-Apr
15-Apr 8:30 Initial Claims 10-Apr
15-Apr 9:00 Net Long-Term TIC Flows Jan
15-Apr 9:15 Capacity Utilization Mar
15-Apr 9:15 Industrial Production Mar
15-Apr 10:00 Philadelphia Fed Apr
16-Apr 8:30 Building Permits Mar
16-Apr 8:30 Housing Starts Mar
16-Apr 9:55 Mich Sentiment Apr
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
The Housing Market Update
Waterstone Mortgage
Brought to you by:
Barb Perry
Branch Manager
Office: 208-472-8877
Cell: 208-859-9696
bperry@waterstonemortgage.com
5583 Glenwood
Boise, ID 83714
www.themortgageplace.us
Most Americans Say Now Is The Time To Buy:
A new Fannie Mae survey showed that nearly two-thirds of Americans think the time is right to buy a house, with a majority believing prices will be the same or higher over the next year.
The 64 percent that said it is a good time buy is just shy of the 66 percent that said the same thing back in 2003 as the U.S. housing market was racing higher, said the survey.
In a separate report, Pending Home Sales rose sharply in February. The National Association of Realtors reported that contracts for pending sales of previously owned homes rose 8.2 percent. First-time home buyers need to sign a contract before the end of April and close the transaction before the end of June to be eligible for the $8,000 tax credit. Clearly, there is a rush to take advantage of this with many Realtors reporting multiple offers on a single home. Buyers who are selling a home and purchasing a different one are eligible for a $6,500 tax credit.
Subprime Delinquencies Fall For First Time In 4 Years:
Subprime mortgages are simply loans that did meet Fannie Mae, Freddie Mac, FHA, or VA standards. The massive onslaught of subprime delinquencies was one of the main culprits in our housing slump. So it is great news that for the first time in 44 months, delinquencies bucked their trend and actually improved to the best levels in 2 years.
With Unemployment decreasing, delinquencies falling and home prices increasing, this could shape up to be a much better Spring/Summer housing market than last year.
What Happened to Rates Last Week:
Mortgage backed securities (MBS) gained +88 basis points last week which caused 30 year fixed rates to decrease for both government and conventional loans, but rates are still higher than two weeks ago which is a level that we are unlikely to see again this year.
We benefited from a strong 10 year Treasury auction, weaker Initial Jobless Claims, and global concern over Greece.
What to Watch Out For This Week:
The following are the major economic reports that will hit the market this week. They each have the ability to affect the pricing of Mortgage Backed Securities and therefore, interest rates for Government and Conventional mortgages. I will be watching these reports closely for you and let you know if there are any big surprises:
Date ET Release For
12-Apr 14:00 Treasury Budget Mar
13-Apr 8:30 Export Prices ex-ag. Mar
13-Apr 8:30 Import Prices ex-oil Mar
13-Apr 8:30 Trade Balance Feb
14-Apr 8:30 CPI Mar
14-Apr 8:30 Core CPI Mar
14-Apr 8:30 Retail Sales Mar
14-Apr 8:30 Retail Sales ex-auto Mar
14-Apr 10:00 Business Inventories Feb
14-Apr 10:30 Crude Inventories 10-Apr
14-Apr 14:00 Fed's Beige Book Apr
15-Apr 8:30 Continuing Claims 3-Apr
15-Apr 8:30 Initial Claims 10-Apr
15-Apr 9:00 Net Long-Term TIC Flows Jan
15-Apr 9:15 Capacity Utilization Mar
15-Apr 9:15 Industrial Production Mar
15-Apr 10:00 Philadelphia Fed Apr
16-Apr 8:30 Building Permits Mar
16-Apr 8:30 Housing Starts Mar
16-Apr 9:55 Mich Sentiment Apr
I know you are busy and it is virtually impossible for you to keep track of what is going on with the economy and other events that can impact the housing and mortgage markets. Just leave it to me, I monitor the live trading of Mortgage Backed Securities which are the only thing government and conventional mortgage rates are based upon.
Waterstone Mortgage
5583 Glenwood, Boise ID, 83714
Phone: 208-472-8877
To Unsubscribe, please click on the following email link: bperry@waterstonemortgage.com
Powered By www.MBSauthority.com
Tuesday, March 2, 2010
I am feeling a trife of accomplishment as this year is progressing and I am still able to say that I am in the mortgage industry. The challenges that we have been faced with for over more than a year have been difficult to say the least, but I am greatful that I have endured and am still able to be a part of this ever growing, ever changing industry! Mortgage rates are low and housing prices are low. What a great time to buy a home! I am dedicated to my profession of close to 15 years now and am excited to see what the future holds. Spring, summer, fall, winter. Here I come! Yahoo!
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