Monday, February 18, 2008

What Are Interest Rates Going To Do? 2/18/08

You like me, are asked this question every day. "What Do You Think Interest Rates Are Going To Do?" Now here is a customer focused report for Mortgage Market Direction:

Week of: Monday, February 18, 2008

Presently Market Conditions Are:
U.S. financial markets are closed on Monday in observance of President's Day. Last week, President Bush signed the so-called Economic Stimulus Bill into law. 30 year fixed rate mortgages turned slightly higher as the economy continues to show signs of slow growth. Mid-range, adjustable rate mortgages remained basically unchanged. Consumers, investors and politicians remain cautiously optimistic that slower economic growth, lower Fed Funds rates, higher home inventory levels, lower home prices and pent up consumer demand are creating “the perfect storm” in the housing market.

My Expectations Are:
This week, the National Association of Homebuilders reports its’ outlook on Tuesday, backed up by Housing Starts on Wednesday and the Consumer Price Index will be released on Wednesday and give us a look at price pressures. The new Economic Stimulus Plan increases the size of loans that Fannie Mae, Freddie Mac, and FHA can buy or insure. The new loan limits will be determined based on the median home price for each Metropolitan Statistical Area (MSA). Only MSAs with median home prices above $333,600 will see increases in the Fannie Mae and Freddie Mac loan limits. FHA loans limits will rise in most MSAs. It is estimated to be about sixty days before the new higher loan limits will be available. The expected benefit from the new loan limits is that credit will be more widely available and that qualifying loans should have lower rates than if the limits were not increased, making homes more affordable and refinancings more attractive.

As Your Trusted Advisor For Life, My Guidance For You Is:
Consumers have many opportunities to take advantage of very low historical interest rates. Contact a trusted mortgage professional to help you structure a mortgage solution designed to meet your financial goals.

No comments:

Legal Stuff

CNE is a registered tradmark of Negotiation Expertise,LLC Your Professional Development and the information contained in/om , www, is the sole property of Jeffrey Stanton. the information contained is opinion only and should not me taken as legal or profesional advice. This website may not be duplicated whole or in part with out written permission.
This Site is not affilated with any othe web site and my contain links to outside web sites and is not responsible for other web sites content.

Certain statements contained on this blog may be deemed to be forward-looking statements within the meaning of the federal securities laws. The words “anticipate,” “believe,” “estimate,” “expect,” “project,” “plan,” “forecast,” “intend,” “goal,” “target,” and similar expressions identify forward-looking statements that are inherently subject to risks and uncertainties, many of which cannot be predicted or quantified. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including, the effect of economic and market conditions including industry volumes and margins; the level and volatility of interst rates; the Company’s hedging strategies, hedge effectiveness and asset and liability management; the accuracy of subjective estimates used in determining the fair value of financial assets ; the credit risks with respect to our loans and other financial assets; the actions undertaken by both current and potential new competitors; the availability of funds from lenders and from loan sales and securitizations to fund mortgage loan originations and portfolio investmetns; the execution of growth plans and ability to gain market share in a significant market transition; the impact of disruptions triggered by natural disasters; the impact of current, pending or future legislation, regulations or litigation. The statements here are not offeres to extend credit as defined by Regulation Z. Rates, Programs, & Availability of Credit is subject to change

Jeffrey S Stanton
DRE ID # 01865119