From Our Family to Yours: Happy Memorial Day

Memorial Day is a federal holiday observed annually in the United States on the last Monday of May. Formerly known as Decoration Day, it originated after the American Civil War to commemorate the fallen Union soldiers of the Civil War. (Southern ladies organizations and southern schoolchildren had decorated Confederate graves in Richmond and other cities during the Civil War, but each region had its own date. Most dates were in May.) By the 20th century Memorial Day had been extended to honor all Americans who have died in all wars. Memorial Day is a day of remembering the men and women who died while serving in the United States Armed Forces. As a marker it typically marks the start of the summer vacation season, while Labor Day marks its end.

Many people visit cemeteries and memorials, particularly to honor those who have died in military service. Many volunteers place an American flag on each grave in national cemeteries.

The Evolution of Memorial Day

By the early 20th century, Memorial Day was an occasion for more general expressions of memory, as people visited the graves of their deceased relatives in church cemeteries, whether they had served in the military or not. It also became a long weekend increasingly devoted to shopping, family gatherings, fireworks, trips to the beach, and national media events such as the Indianapolis 500 auto race, held since 1911 on the Sunday of Memorial Day weekend.

Annual Decoration Days for particular cemeteries are held on a Sunday in late spring or early summer in some rural areas of the American South, notably in the mountains. In cases involving a family graveyard where remote ancestors as well as those who were deceased more recently are buried, this may take on the character of an extended family reunion to which some people travel hundreds of miles. People gather on the designated day and put flowers on graves and renew contacts with kinfolk and others. There often is a religious service and a “dinner on the ground,” the traditional term for a potluck meal in which people used to spread the dishes out on sheets or tablecloths on the grass. It is believed that this practice began before the American Civil War and thus may reflect the real origin of the “memorial day” idea. From: Wikipedia

Every day this week has seen a reversal of the day prior for mortgage rates, giving back or making up for the prior day’s gains or losses.

Today did see consumer confidence data come out at 79.3, with the markets expecting the index to be at 77.8. This makes this reading the highest since 2007 even though it is generally considered a weak number and didn’t seem to have had any impact on mortgage rates.

Mortgage Rates and Europe Moving Forward

This week was no exception to the months and weeks past as market watchers intently watched for any information coming out about a possible exit from the Eurozone by Greece. The market is interested in any information coming out of Europe but specifically information regarding Greece, Italy and Spain. Signs of trouble in those three countries could likely be symptoms of a large Euro problem, which could ultimately lead to more countries with debt insolvency issues.

Next week the market will continue to monitor the situation and will likely do the same in coming weeks and months. The constant stream of not so great information coming out of Europe has and will continue to play a major role in putting downward pressure on mortgage rates.

Mortgage Rates: The Week Ahead

Next week will see a shortened trading week in the markets as the US recognizes Memorial Day on Monday. When the week does begin on Tuesday, there should be a lot of activity as quite a few pieces of economic data will be released with the majority of the important data being released on Thursday and Friday.

Where Are Mortgage Rates Right Now?

As we’ve said many times before, mortgage rates can change many times per day. This means that the only way to get an up to the minute quote is simply by calling us directly or requesting a mortgage quote using the form above.

Wondering what loan programs exist or make the most sense for your needs? In addition to helping you explore the best mortgage for your needs, we can also put together a mortgage strategy that will help you reach your goals.

Until next week, have a safe and happy Memorial Day Weekend!

The market is waiting for Jobless Claims data that is being released and keeping an eye on Europe, as has been the case for many months.

Europe in the Spotlight… As Always

Market watchers continue to keep an eye on Europe and any new developments coming out in regards to whether or not Greece will be making an exit from the EuroZone. Confirmation that such an exit is possible has come from Greek Prime Minister Lucas Papedemos, who also noted that such an exist would be disastrous for Europe and Greece alike.

The continuous threat of debt insolvency in Europe has played a major role in keeping rates at or near all time historic lows for many months. Significantly bad news coming out of the Europe could rock mortgage rates down to yet new all time historic lows.

Mortgage Rates: Should I Lock Now?

Mortgage rates are currently near all time historic lows and have been for many months. There is likely more upside risk, should rates move upward then there is downside risk if mortgage rates hit new lows. One thing is for sure, mortgage rates will move up more quickly then they have been moving down when they do make a move up.

Locking in your mortgage rate now is probably a pretty good idea but we can confirm this with you when we know more about your specific situation. We can also help answer any mortgage questions you might have and put together a mortgage strategy that makes the most sense for your needs.

Last week saw the the possibility of a Greek exit from the Euro dominate headlines. This week will be no different with market watchers keeping a close eye on the European situation, with Greece Spain and Italy in their cross hairs. Europe has been a major source of downward pressure on mortgage rates for many months.

Mortgage Rates and the Week Ahead

This week is a bit light on economic data. The reports to watch are the Existing and New Homes sales on Tuesday and Wednesday and the Durable Goods Orders and Jobless Claims on Thursday. Don’t expect these reports to move mortgage rates unless the data is exceedingly good or bad.

Economic Calendar for Week of May 21, 2012

• Monday - N/A
• Tuesday - Existing Home Sales
• Wednesday - New Home Sales
• Thursday - Durable Goods Orders, Jobless Claims
• Friday - Consumer Sentiment

Where Are Mortgage Rates Right Now?

Since mortgage rates can change many times per day, there is a very good chance they will have changed from the time we’ve written this till the time you read it. That’s alright though, we can give you an up to the minute quote via the fast quote form above or if you call us directly.

Have questions about loan programs? We can also answer any other questions you might have about loan programs and which loan makes the most sense for your needs, whether you are purchasing a home or refinancing an existing home.

Europe Dominates Headlines Again

We started the week with news of a possibility of a Greek exit from the Euro and market watchers keeping a close eye on the European situation all week long. Month after month Europe has dominated headlines since each piece of news could give clues to other underlying weaknesses present in the European Union. Spain and Italy are the two countries most are most concerned about, however. If they fall, the Euro Zone as a whole may fall as well.

The good news is that bad news coming from Europe exerts downward pressure on mortgage rates and Europe is a large part of why mortgage rates have repeatedly set new historical lows.

FOMC Releases Minutes from its April Meeting

The FOMC released its April Minutes earlier this week. These minutes chronicle the 8 annual FOMC meetings and are released three weeks post meeting. The minutes helped push mortgage rates lower this week due to the verbiage that indicated more easing will like take place and that they will be “highly accommodative” in their position toward easing monetary policy.

Highlights from the FOMC Minutes:

• Labor market conditions have improved in recent months
  
• The unemployment rate has declined but remains elevated 
• The Committee seeks to foster maximum employment and price stability
• The Committee expects economic growth to remain moderate over coming quarters and then to pick up gradually
• The Committee expects to maintain a highly accommodative stance for monetary policy

From the FOMC Press Release:

To support a stronger economic recovery and to help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions–including low rates of resource utilization and a subdued outlook for inflation over the medium run–are likely to warrant exceptionally low levels for the federal funds rate at least through late 2014.

Where are Mortgage Rates Now After This Hectic Week?

The truth is that there is a very good chance they will have changed from the time we’ve written this till the time you read it. That’s ok though, we can give you an up to the minute quote via the fast quote form above or if you call us directly. We can also answer any other questions you might have about loan programs and which loan makes the most sense for your needs, whether you are purchasing a home or refinancing an existing home.

The political and economic turmoil in Europe that market watchers have been observing for months has begun to frenzy as Greece looks to possibly stop using the Euro.

Economic Data Beats Expectations

Fast forward to today and some very positive data has come out this morning that may exert upward pressure on mortgage rates.

Housing Starts and Permits data for April was released this morning and it came in better than expected. The data showed 717 thousand units when the market had been expecting 680 thousand housing units.  Generally speaking, news that shows health in the US economy is bad for mortgage rates.

A second piece of data also beat expectations this morning. The Industrial Production report came in with a figure of 1.1%, which is more than twice the figure of .5% that the market was expecting and the highest level reported in over a year.

What’s Ahead For Mortgage Rates Today?

This afternoon will see the Federal Reserve Open Market Committee (FOMC) release minutes from their past meeting. Market watchers will be looking closely for any signals or verbiage that might provide insight into future FOMC actions in regard to stimulus.

As we get more economic data being released each week, the health of the data is taken into consideration by the FOMC and can play a role in their decision as to whether they will employ more or less stimulus in the future.

When bonds have an increase in buyers, it tends to increase their price (supply and demand) with has an inverse effect on mortgage rates. In other words, bad news is good for mortgage rates!

The Week Ahead: It’s All About Europe

The markets have kept a close eye on Europe for a good number of months. The major concern as each country comes forward with its own debt issues is that as these issues spread to countries like Italy and Spain, it gives more credence to a bigger issue with the European Union as a whole. This can and will negatively affect the United States.

As with all bad news coming out of Europe, the latest bombshell that Greece may be ditching the Euro is front and center news on the world stage. How this plays out can absolutely move mortgage rates. The messier it gets, the more downward pressure there will be on mortgage rates. Mortgage rates just may break the new historic lows set last week.

Economic Calendar for Week of May 14, 2012

• Monday - N/A
• Tuesday - Consumer Price Index, Retail Sales, Housing Market Index
• Wednesday - FOMC Minutes, Housing Starts, Industrial Production
• Thursday - Jobless Claims, Philadelphia Fed Survey
• Friday - N/A

Where are Mortgage Rates Now?

We’re in a fast moving market with lots of volatility that can come into play at any given time of the day, depending on which news stories are moving the market. This means rates can and do change many times per day. For up to the minute mortgage rate quotes, please call us directly or request a rate quote using the form above.

In addition to an up to the minute mortgage rate quote, we can also answer any mortgage related questions you might have. Additionally, we can help you understand which program options there are and which ones make the most sense for your needs.

News regarding the JP Morgan trading loss of $2 billion dollars has helped rates improve a bit today. Europe has also played a role throughout the week in pushing mortgage rates down as we learn more and more about the issues occurring there. Bad news in Europe is good for mortgage rates in the United States.

All Time Historic Mortgage Rates: Should I Lock?

Right now is a great time to lock in a near historic low mortgage rate. We can not only help you lock in a historically low mortgage rate for your refinance or home purchase, we can also help answer any mortgage questions you might have.

We can also help you understand what loan programs exist and which program makes the most sense for your needs with customized mortgage strategy.

Mortgage Rates: The Week Ahead

There is a slew of economic data coming out next week that have the power to move mortgage rates. The following reports  that are being released next week will give market watchers more insight into the health of the US economy and have the power to move the markets: Consumer Price Index, FOMC Minutes, Jobless Claims and Housing Starts.

Otherwise known as the Non-Farm Payrolls report, the Jobs Report is released on the first Friday of every month and provides analysts and market watchers with very important data about the health of the US employment situation and unemployment rate.

Since jobs are a major engine in the economy that create economic growth, any data related to the health of employment in the US has the power to move markets and mortgage rates.

Disastrous: Jobs Report Data Released

At 8:30 AM EST this morning, Jobs Report data was released showing that in April, 115,000 jobs were created. Wall Street was expecting a number closer to 160,000 new jobs created being created. This is a huge disappointment to the markets, sending mortgage rates downward and marks two straight months of disappointing Jobs Report numbers.

The unemployment rate decreased to 8.1 percent in April from 8.2 percent in March. This is also very bad news. Why? The main reason this number has decreased is because 69,000 people were removed from the labor-force because they have been deemed to have stopped making any attempt to find work, which means they are no longer “unemployed” and have been removed from the unemployment calculation, thus lowering the unemployment rate!

This disappointing data also gives Wall Street more reason to believe the FOMC (Federal Open Market Committee or FED) will have more reason to implement QE3 (a third round of quantitative easing) in the future. A healthy economy has less of a need for QE3 and would likely not see a third round of easing.

Record Low Mortgage Rates: Where Are Rates Now?

In a fast moving market, mortgage rates can change frequently. Even on a slow day mortgage rates may change several times. To get up to the minute mortgage rates, please call us directly or request a rate quote using the form above.

We can also help answer any questions you have about which loan program(s) make the most sense for your needs and put together a mortgage strategy that makes the most sense for your goals.

Mortgage rates changed very little throughout the week, ending the week very near to where they started. This means that if you have not already locked in your rate at the current historically low levels, this may be your chance.

GDP (Gross Domestic Product) Data Disappoints

US Gross Domestic Product data for the first quarter of 2012 was released this morning. The data showed a disappointing growth rate of 2.2%, which was below expectations of 2.5%. Negative data like this can exert downward pressure on mortgage rates and will continue to cast doubt on the strength of the economic recovery that market watchers are monitoring.

Analysts are attributing the lower than expected GDP to less corporate investment occurring and less build-up of inventories.

Mortgage Rates and the Week Ahead

As always, market watchers will continue to keep an eye on Europe next week, especially in light of Spain’s recent downgrades. Any negative news coming out of Europe will put downward pressure on mortgage rates in the United States.

There are a handful of reports with the potential to move mortgage rates next week, Monday: Personal Consumption and Expenditures, Wednesday: ADP Employment Change and finally Thursday: Weekly Jobless Claims.