Rates and Home shortages

Rates and Home shortages

Suggestions that can change during the day: Mortgage Bond prices trade near unchanged to begin the week ahead of the July Jobs Report scheduled for Friday. Carefully floating is recommended.

Rates Effective July 31, 2017 11:30 AM EST

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

Conforming loans $424,100 and under

30-Year Fixed Rate 4.000% (4.087%APR)

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

After close Commentary: MBS markets were quiet to begin the week with little movement seen in prices. Better-than-expected Pending Homes Sales and a below-consensus Chicago PMI had little impact. The Fannie Mae 30-yr 3.5% coupon closed unchanged at 102.91 and right at resistance one (R1) at the 50-day Moving Average. The Dow closed at a fresh record high as shares of Boeing took flight. The Dow finished at 21,891.12, +60.81 points, the S&P 500 lost a meager 1.80 points to 2,470.30, while the NASDAQ was down 26.55 points to end at 6,348.12. WTI oil closed at $50.17/barrel, +$0.46 and was up 9% in July, the biggest monthly gain since April 2016. 10-yr T Note yield 2.29%. Tomorrow's economic data includes Personal Income & Spending, the inflation reading Core PCE and the ISM Index. 

Late morning Commentary: Stocks are at all-time highs again as investors embrace strong quarterly corporate earnings. Of the 289 S&P 500 companies that have reported up until Friday, 73% have exceeded expectations. This is slightly above the 71% average over the past four quarters, according to Thomson Reuters. The Dow Jones Industrial Average hit a record high of 21,916.67 in today's trading session.

The National Association of REALTORS® reported on Monday that Pending Home Sales in June rose 1.5% from May, after three straight months of declines. June was the first month that Pending Home Sales rose annually since March, rising by 0.5%. Lawrence Yun, NAR chief economist, says the rebound in June in most of the country is a welcoming sign. Mr. Yun said, "Market conditions in many areas continue to be fast paced, with few properties to choose from, which is forcing buyers to act almost immediately on an available home that fits their criteria."

The Census Bureau reported last week that homeownership rates remained near 50-year lows in the second quarter, though they did edge higher from a year ago. The homeownership rate increased by 0.1% to 63.7% in the second quarter from the first and is up 0.8% from the second quarter in 2016. The shortage of homes for sale on the market could continue to keep homeownership rates low.

**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 4.000% and 70% loan-to-value (LTV) is $954.83 with 0 points due at closing. The Annual Percentage Rate (APR) is 4.087%. 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.  



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