Mortgage Rates & the Great Unwind

September 22nd, 2017

Rates Effective September 22, 2017 10:30 AM EST

 *30-Year Fixed Rate 3.875% (3.961%APR)

**15-Year Fixed Rate 3.250% (3.397% APR)

 Conforming loans $424,100 and under

 No origination fee on all posted rates.  Call for other rates. ***Rate Assumptions below the news

Suggestions that can change during the day: Increased tensions between the U.S. and North Korea pushes Stock prices lower, which is boosting Bond prices. Carefully floating is recommended.

After close Commentary: Not a lot of movement in today's session as the week came to an end. There were no economic reports released today to impact trading today. The Fannie Mae 30-yr 3.5% coupon closed at 103.22, +12bp and closed right near support at the 50-day Moving Average. The Dow closed lower by 9.64 points to 22,349.59, the S&P 500 gained 1.62 points to 2,502.22, while the NASDAQ gained 4.22 points to end the week at 6,426.92. WTI oil settled at $50.66/barrel, near unchanged. 10-yr T Note yield 2.26%. Next week's economic calendar is packed with reports that will give the investing world a broad sense of the U.S. economic landscape. Have a great weekend!

 

Late morning Commentary:   Coming Soon

What is the Great Unwind? 

Defined by TheGuardian https://www.theguardian.com/business/2017/sep/20/federal-reserve-financial-crisis-stimulus-sell-off-interest-rates 

info from the article: The Federal Reserve has announced it will begin the great unwinding of the gargantuan stimulus programme it began close to a decade ago in the teeth of the worst recession in living memory.

Yellen, has said she is hopeful the unwinding will be as uneventful as “watching paint dry” and the Fed plans to reduce its balance sheet in such a slow and steady manner that it will not affect the wider economy.

Fri, Sep 22 10:20 AM Next week, the Treasury will sell $26B 2-yr Notes on Tuesday, $34B 5s on Wednesday, and $28B 7s on Thursday.
Fri, Sep 22 10:13 AM Mortgage Bonds holding gains as the S&P churns near unchanged. 10-yr yield falls to 2.24%.
Fri, Sep 22 9:33 AM The S&P trades slightly lower soon after the opening bell on Wall Street.
Fri, Sep 22 8:31 AM Freddie Mac reports that it expects housing starts to increase to 1.33 million in 2018, up from 1.22 million in 2017.
Fri, Sep 22 8:23 AM There are no economic reports due for release today.
Fri, Sep 22 8:18 AM WTI oil at $50.36/barrel, -$0.18.
Fri, Sep 22 8:17 AM 10-yr yield declines to 2.25% from 2.27% at yesterday's close.
Fri, Sep 22 8:17 AM U.S. dollar index 91.78, -0.26.
Fri, Sep 22 8:16 AM Mortgage Bond prices open modestly higher. S&P futures slightly lower.
Fri, Sep 22 8:14 AM North Korean tensions rise as President Trump imposes new sanctions as Kim Jong Un says he will "tame the mentally deranged U.S. dotard with fire."

***Rate Assumptions

 Actual payments will vary based on your individual situation and current rates. The above rates are subject to change.

  • Some products may not be available in all states.
  • Jumbo Rates (loans over $424,100) not be available to first time home buyers.
  • Lending services may not be available in all areas.
  • Some restrictions may apply.
  • Based on the purchase/refinance of a primary residence with no cash out at closing.
  • We assumed (unless otherwise noted) that: closing costs are paid out of pocket; this is your primary residence and is a single family home; debt-to-income ratio is less than 30%; and credit score is over 780; and an escrow account for the payment of taxes and insurance.
  • The lock period for your rate is 30 days.
  • The loan to value (LTV) ratio is 70%. If LTV > 80%, PMI will be added to your monthly mortgage payment for all conventional loans.
  • Rates assume a credit score of at least 780.
  • Please remember that we don’t have all your information. Therefore, the rate and payment results you see from this calculator may not reflect your actual situation. National Bank of Commerce offers a wide variety of loan options. You may still qualify for a loan even if your situation doesn’t match our assumptions. To get more accurate and personalized results, please call (205) 266-5669 to talk to John Marbury.
  • *30-Year Fixed-Rate Mortgage: The monthly payment on a $200,000 30-year Fixed-Rate Loan at 3.875% and 70% loan-to-value (LTV) is $940.47 with 0 points due at closing. The Annual Percentage Rate (APR) is 3.961%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply.
  • **15-Year Fixed-Rate Mortgage: The monthly payment on a $200,000 15-year Fixed-Rate Loan at 3.250% and 70% loan-to-value (LTV) is $1405.34 with 0 points due at closing. The Annual Percentage Rate (APR) is 3.397%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply

 

 

 

 

Johnmarbury.com has attempted to verify the information contained on this post.  However any aspect of such may change without notice.  Johnmarbury.com does not provide investment advice and does not represent that any of the information or related analysis is accurate or complete at any time. Forgive my spelling and grammatical mistakes due to writing skills that are lacking and the need to communicate quickly.  

Contact

John Marbury
jmarbury@nationalbankofcommerce.com
NMLS# 740833
Phone:205-266-5669
Fax: 866-217-4174

813 Shades Creek Parkway
Birmingham, Alabama 35209
 

Mission Statement

As a loan officer (mortgage broker 1989-2006) since 1985, I have seen a lot of changes over the years. The only consistency in the mortgage business and life is change. This is the reason that we believe it is necessary to move quickly and to be early. Let us know if you have any questions or if we can help in any way.

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