KenFlory.com - 760.485.2123 THE REALTOR WHO LISTENS TO YOU

Top Financial News


Mortgage News Daily

Posted To: MND NewsWire

The S&P CoreLogic Case-Shiller indices and the Federal Housing Finance Agency's (FHFA's) Housing Price Index paints two different pictures of the housing market in January . The former calls the appreciation in that month "the smallest in four years," while FHFA's index posted a January price surge. Case-Shiller's U.S. National Home Price Index, covering all nine U.S. census divisions, reported a 4.3 percent annual gain in January on a non-seasonally adjusted (NSA) basis. In December the annual increase was 4.6 percent. On a seasonally adjusted (SA) basis prices grew 0.2 percent, but the NSA index lost 0.2 percent compared to December. Case-Shiller's two composite indices show similar deceleration. The 10-City Composite's annual gain dropped from 3.7 percent in December to 3.2 percent while...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/26/2019 9:12:00 AM

Posted To: MND NewsWire

Residential construction numbers continued to see-saw in February. Housing starts were particularly disappointing after their stellar performance in January. Completions is the only indicator that is running ahead of its 2018 counterpart. Permits for construction of residential units were issued at a seasonally adjusted annual rate of 1,296,000 units, a 1.6 percent decline from the January rate of 1,317,000 units, and the January number was a downward revision of the 1,345,000 units originally reported. Permits dipped by 2.0 percent from the February 2018 rate of 1,323,000. Analysts polled by Econoday were forecasting authorizations in the range of 1,290,000 to 1,320,000 units. The consensus was 1,300,000. Single-family permits were issued at an annual rate of 821,000, unchanged from the revised...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/26/2019 8:10:00 AM

Posted To: MBS Commentary

Quite a few talking heads and analysts referred to last Wednesday's post-Fed rally as 'overdone.' They pointed to Thursday's moderate weakness as evidence that bonds would have a hard time making further progress at the new long-term lows. When the rally extended sharply on Friday in the overnight session, pundits doubled down on the 'overdone' calls, saying surely a bounce was imminent. A few hours later, weak Markit PMIs in the US launched yields even lower prompting--you guessed it--even more calls for a jarring return to reality in the following week. If you were around yesterday, you know that such a return (to higher yields) never happened . Bonds continued to defy calls for a bounce by surging as low as 2.377 yesterday afternoon. At that point, there were far...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/26/2019 8:09:16 AM

Posted To: Pipeline Press

“Rob, are you hearing that the sudden increase in lock volume is from borrowers who had a lock with one lender moving to another lender?” Not yet, and let’s hope not, loans are “stickier” now, and that this practice was just something unscrupulous parties did in the past. But speaking of past events, Baby Boomers now own about 32 million homes (out of 137 million housing units in the U.S.). One issue in some Sunbelt real estate markets is that the design of those homes is out of style with younger folks who’d conceivably purchase them. So there’s a glut of big and pricey homes on the market in areas that cater to clusters of retirees, and let’s just say those who’d ideally buy them aren’t exactly known for being particularly liquid...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/26/2019 6:59:38 AM

Posted To: MBS Commentary

There were no significant economic reports today and no obvious market-moving news headlines. Nevertheless, bonds went on yet another snowball rally run to new long-term lows. Today's version was even more interesting than some of last week's examples. Case in point, 2yr yields ended the day down nearly 7bps while 30yr bonds barely gained any ground. What's up with that?! Part of the reason is the extent to which the opposite phenomenon was in fashion heading into the end of last week. Traders are booking profits on those curve flattener trades (betting on longer term yields falling to be closer to short-term yields). Profits on those trades could either be booked by selling longer-term bonds or buying short-term bonds. None of this is really important though! The fact is that rates...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/25/2019 4:13:52 PM

Posted To: Mortgage Rate Watch

Mortgage rates continued deeper into long-term lows today as the underlying bond market experiences its most impressive rally of the year. In a rally, bond prices are moving higher and rates are moving lower. This particular rally is bifurcated on several levels. On one level, different maturities of US Treasuries are moving at very different paces . For instance, the 2yr Treasury dropped by .07% today while the 30yr Treasury fell by less than 0.01%. This has to do with investors betting on central banks keeping short-term interest rates low (or cutting them to even lower levels) among other things. On another level, US Treasuries are moving at a very different pace compared to the bonds that underlie mortgages (mortgage-backed-securities or MBS). Part of last week's big news from the Fed spoke...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/25/2019 3:20:00 PM

Posted To: MBS Commentary

From a calendar standpoint, the most notable thing about the week ahead is that it's the final week of the month/quarter. This usually means we'll see at least some trading happening for reasons that have nothing to do with data, events and headlines ( read more about "month-end" trading ). Thursday and Friday have the biggest potential for volatility in that regard. There will actually be plenty of economic data to digest. It's just that most of it has to do with the housing market , and typically doesn't pack the same sort of punch as the reports that moved markets last week. Incidentally, the exceptions also show up on Thursday and Friday (GDP, PCE inflation, Consumer Sentiment). From a technical standpoint, bonds are in the process of deciding if they have any...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/25/2019 7:39:41 AM

Posted To: Pipeline Press

Sometimes you’re stuck in the middle . (Thanks to Myrtle for that one.) Right now, it seems, rates are done being stuck in the middle and have edged back down leading to refi hopes by lenders. “Hope,” however, is not a business strategy. For the first time since 2007, the 10-year US Treasury yield has fallen below the three-month Treasury yield, causing an inverted yield curve, which warns of an impending recession. Be careful what you wish for as the news sent stocks tumbling worldwide. Bose George with KBW points out that the refi “incentive” is “modest” and most pronounced for borrowers with note rates at 4.5%+ who have loans originated within the last year: about $550 billion, or around 15% of the GSE 30-year fixed-rate universe. Not all of these...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/25/2019 6:56:30 AM

Posted To: Mortgage Rate Watch

At the end of last week, the average top-tier 30yr fixed mortgage rate quote was 4.375%. As of today, the exact same scenario would be at 4.125%--a quarter of a percentage point lower. That's an uncommonly big move for a single week, but it's one we've been tracking eagerly in recent days. Why is it happening? The first phase of the move had to do with the Fed's surprisingly friendly policy announcement on Wednesday. Due to the time of day that the Fed news came out, markets didn't have a chance to fully react to it until yesterday. Even so, the drop in rates was already much bigger than average. But this morning took it to the next level. In the middle of the night (in the US, anyway), economic data for Europe was released that showed a serious slowdown in German and French manufacturing....(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/22/2019 3:30:00 PM

Posted To: MND NewsWire

Like virtually all the experts, including those at the Federal Reserve, Freddie Mac's economists have reduced their expectations for economic growth . The company's March forecast is for growth in the first quarter of 2019 to shrink to 1.2 percent. They do see it regaining its footing later in the year, but it will still decelerate from 2018 to 2.0 percent this year and 1.8 percent in 2020. They blame the first quarter retrenchment on a decline in residential fixed investment, consumer spending, and the effects of the partial government shutdown in January. The economists see a brighter picture for the real estate market , with the significant decline in mortgage rates since last fall being one of the main drivers of improvement. The forecast is for existing home sales to bounce back and trend...(read more)

Forward this article via email:  Send a copy of this story to someone you know that may want to read it.

3/22/2019 10:41:59 AM

Ken Flory, Bennion Deville Homes 760-485-2123 or email: flry7@aol.com  California BRE Lic#01361850


Home  |  Featured Listings  |  Indian Wells Community  |  Desert Communities  |  Ken's Rental Properties  |  Search ALL MLS  |  Calculators  |  For Sellers  |  For Buyers  |  Your First Home  |  About Ken Flory  |  Resources  |  Utility Information  |  1031 Tax Exchange  |  Investment  |  Top Financial News
Email Ken
 

Privacy Policy  |  Site Map  |  Profile  |  Sign In

Choose language: