Stephens Short Banner

Last week was light on economic reports included Consumer Price Index and Core index for September, the minutes of the FOMC meeting held earlier in September, and weekly reports on mortgage rates and new jobless claims.

Minutes of the Federal Open Market Committee meeting held in September suggest that while Fed policy makers have reservations about low inflation and labor markets, but it’s likely they’ll raise they’ll raise the target federal funds rate from its current range of 0.00 to 0.25 percent simply to take the anxiety off the table in financial markets.  When the fed does raise rates, some analyst’ expect to see higher mortgage rates, as well as other loan products like personal loans and credit cards, but I think the price has already been built into market rate and we’ll see little movement.

Furthermore, FOMC members revealed they remain concerned about inflation and stagnant wages, and so they should!

September’s Core Consumer Price Index report showed a slight reduction as consumer prices fell by -0.20 percent, which matched analysts’ expectations and was lower than August’s reading of -0.10 percent. The reduction in consumer prices was caused by falling fuel prices. The Core Consumer Price Index for September, which does not include readings for energy or food prices, rose by -0.20 percent, and exceeded the predictions of an 0.10 percent increase and August’s reading of +0.10 percent.

Freddie Mac reported that fixed mortgage rates rose while rates for a 5/1 adjustable rate mortgage held steady last week. The average rate for a 30-year fixed rate mortgage rose by six basis points to 3.82 percent, while the average rate for a 15-year fixed rate mortgage rose by four basis points to 3.03 percent. The average rate for a 5/1 adjustable rate mortgage was unchanged at 2.88 percent. Average discount points were unchanged at 0.60 percent for fixed rate mortgages and 0.40 percent for 5/1 adjustable rate mortgages.

pmms_chart (2)

New jobless claims fell to 255,000 against expectations of 270,000 and the prior week’ reading of 262,000 new claims. The four-week rolling average of new claims fell by 2250 new jobless claims and reached its lowest level since 1973.

In other jobs-related news, job openings fell from July’s reading of 5.70 million to 5.40 million in August. The Labor Department also reported that the hiring rate and quit rates held steady at 3.60 percent and 1.90 percent.

What’s Ahead for the Week?

This week’s we’ll get reports from The National Association of Home Builders Housing Market Index, September Housing Starts and Existing Home Sales and as usual weekly reports on mortgage rates and weekly jobless claims.

Podcast 11

Livingston-Homes-for-Sale

Homes for Sale REO Short Sales FNMA HomePath Properties HUD Homes USDA Homes Non-Warrantable FNMA FHLMC FHA VA USDA Approved Condominiums Co-Ops Town Homes Manufactured Homes Modular Homes Mobile Homes Log Homes Second Homes Investment Property 2-4 Family Custom Home Builders Custom Built Homes Luxury Homes Real Estate Brokers & Agents Down Payment Assistance

A SIMPLE HOME SHOPPING INSPECTION TOOL

Organizing your home shopping experience affords a wise decision-making process. This simple home inspection tool makes your ultimate buying decision a smart one. To print this document, click on “Open in New Window” located at the lower right corner; click on “File”; then click on “Print”. In the center of the screen, you will have the option  to “Create A Printable PDF of the Presentation”.

96801 96802 96803 96804 96805 96806 96850 96807 96808 96809 96810 96811 96812 96813 96814 96815 96816 96817

96818 96819 96820 96821 96822 96823 96824 96825 96826 96827 96828 96830 96835 96836 96837 96838 96839 96840

96841 96842 96843 96844 96846 96847 96848 96849