The Week in Review:
Well, it was a particularly bad week for mortgage interest rates. The combination of stocks improving, the unemployment rate decreasing and prices of commodities and food rising has created a triple wammy for rates. Rates are up on the week by .125% to .25%.
What to Expect:
It’s a quite week for scheduled economic reports and that means the increase in rates may continue.
The underlying mortgage-backed security market has been beat up lately but could see a bounce in the next couple of weeks. We feel rates will increase further but then have the possibility to gain some ground.
While the news is not good for mortgage rates, it is good for the overall economy. The number of people shopping for a new home has picked up this year and we expect it to continue.
Breg-ometer:
Next 7 Days: Rates up
Next 30 Days: Neutral (could there be a bounce the other direction?)
Next 90 days: Rates up
Courtesy of:
Bob Bregitzer
Southeast Mortgage
[where: 30080]