09
Mar
By Jim Hasek
Market Outlook, ,

What’s Ahead For Mortgage Rates This Week – March 9, 2015

Last week's economic news was light on housing related reports, but several employment reports were released along with the national unemployment rate, which dipped to 5.50 percent. This was a full point below the Federal Reserve's original target rate of 6.50 percent. Construction spending was incrementally lower than expected and mortgage rates also fell.Fewer Private-Sector Jobs, Non-Farm Payrolls IncreaseThe ADP employment report for February fell from January's reading of 250,000 jobs to 212,000 private-sector jobs. January's reading was upwardly revised from the original tally of 213,000 jobs added. News was better for Non-Farm Payrolls for February. The Labor Department reported…
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02
Mar
By Jim Hasek
Market Outlook, ,

What’s Ahead For Mortgage Rates This Week – March 2, 2015

Last week provided several housing-related reports including New Home Sales, Pending Home Sales and Existing Home Sales reports. Case-Shiller and FHFA also released data on home prices. The details: Sales of Pre-Owned Homes Hit Nine-Month Low According to the National Association of Realtors® (NAR), Sales of pre-owned homes dropped to a seasonally-adjusted annual reading 4.82 million sales in January as compared to an estimated reading of 4.95 million sales and December's reading of 5.07 million existing homes sold. This was a month-to-month decline of 4.90 percent, and represented the lowest reading for existing home sales in nine months. Lawrence Yun,…
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27
Feb
By Jim Hasek
Market Outlook, ,

FHFA House Price Index Rises for 14th Consecutive Quarter

According to the Federal Housing Finance Agency (FHFA), U.S. home prices rose by 1.40 percent for the fourth quarter of 2014 and were up by 0.80 percent month-to-month from November. The seasonally adjusted FHFA House Price Index measures purchase transactions for homes connected with mortgages owned by Fannie Mae and Freddie Mac. FHFA also reported that home prices rose 4.9 percent year-over –year from the fourth quarter of 2013 to the fourth quarter of 2014. FHFA Chief Economist Andrew Leventis described the report for the last quarter of 2014 as "relatively strong" and also cited low inventories of available homes…
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25
Feb
By Jim Hasek
Market Outlook, ,

Case-Shiller: Rising Home Prices Boost Inflation

December home prices rose by 0.10 percent according to the Case-Shiller 20-City Home Price Index. The composite report tracks home prices in 20 U.S. cities. December's results boosted home prices by 4.50 percent year-over-year, which is approximately double the inflation rate for 2014. Analysts note that the overall reading was less significant than individual readings for the 20 cities included in the report. Regional Home Prices Suggest Disparity in Housing Recovery The top three month-to-month home price increases for cities surveyed were led by Miami, Florida with an increase of 0.70 percent, Home prices rose by 0.50 percent in Denver,…
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23
Feb
By Jim Hasek
Market Outlook, ,

What’s Ahead For Mortgage Rates This Week – February 23, 2015

Last week's housing related reports included the National Association of Home Builders (NAHB) Housing Market Index for February, The Commerce Department's report on Housing Starts for January and Freddie Mac's weekly report on average mortgage rates. The Federal Reserve released the minutes of January's FOMC meeting, which indicated that FOMC members are in no hurry to raise the target federal funds rate. The details: Home Builder Confidence, Housing Starts Impacted by Winter Weather The NAHB Housing Market Index for February fell from January's reading of 57 to 55. Analysts expected a reading of 59. This was the lowest reading since…
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19
Feb
By Jim Hasek
Market Outlook, ,

Fed Not in a Hurry to Raise Rates: FOMC Meeting Minutes

Minutes of the Federal Open Market Committee (FOMC) meeting held January 27 and 28 were released on Wednesday. According to the minute's transcript, it appears that Fed policymakers are in no hurry to raise the target federal funds rate. Members said that raising rates too soon could swamp the strengthening economy and expressed concerns that changing the committee's current "patient" stance on rising rates could cause more harm than good to current economic conditions. FOMC members discussed the Fed's use of the word "patient" in its guidance, and said that dropping the word could incorrectly suggest that the Fed is…
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