Good news for inflation sent bonds into positive territory Friday on the heels of a stock sell off. This ended the week with FNMA mortgage bonds up almost 100 basis points over the close the previous Friday August 7th. This of course is good for mortgage rates since a higher yield in bonds leads to lower mortgage rates for the home buying public.
While this is not a huge decline in rates, in a tough mortgage market we will take what we can get and call the glass half full at any possible opportunity.
Coming up this week are plenty of economic reports that will have an affect on mortgage bonds and consequently mortgage rates. Remember, what is good for the economy, is generally bad for bonds and bad for mortgage rates. If you currently have a mortgage in processing but have not yet locked the rate, watch the news closely next week as the many indicators due out could swing the market in either direction including the Produce Price Index (PPI), New Housing Starts, Building Permits, and Jobless Claims to name a few.
If you would like to get pre-approved for a purchase or refinance in Gulf Shores or the Greater Pensacola area, please call 850-221-8334 anytime.
| 30 Yr Fixed Mtg | 5.000% |
| 15 Yr Fixed Mtg | 4.625% |
| 30 Yr FHA | 5.000% |
| 30 Yr VA | 5.000% |
| Reverse Mortgage | Call For Rates |
Steve Russell
Mortgage Banker
Primary Residential Mortgage
850-221-8334 Cell
850-497-6325 Office
* All rates assume the purchase of a single family primary residence with at least 20% down payment, 740 credit scores, and verifiable income and assets. Rates vary based on borrower profile and property type. Rates are subject to change without notice. All rates also assume a 1% origination fee. Loans with no origination fee and no points may be available at a higher rate. Not all borrowers will qualify for the rates listed above.
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