Monday's Rates and News

Monday's Rates and News

July 24th, 2017

Suggestion: Mortgage Bonds begin the week near unchanged ahead of the two-day Fed meeting that begins on Tuesday. Carefully floating is recommended.

For News that affect these rates drag all the way down the page.

 

Rates Effective July 20, 2017 11:30 AM EST

No origination on all posted rates.  Call for other rates

 

Conforming loans $424,100 and under

Fixed Rates

30-Year Fixed 4.000% (4.087%APR)

15-Year Fixed 3.25% (3.397% APR)

 

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

 

 

Below is the news when it happened and the market’s reaction.  For a full view of the day start at the bottom and work your way up. If want to know what just happened start at the top. All Times are Eastern Standard Time.  When the price of Mortgage Backed Securities (MBS) goes down rates go up, and when the price goes up rates come down. Remember in the bond market Bad News is Good News and Good News is Bad news.

 

After close Commentary: MBS traded in a tight range throughout the session near unchanged. The weak Existing Home Sales and mixed Stock prices weren't enough to lead prices higher as traders sit on their hands ahead of the Wednesday's Fed statement. The Fannie Mae 30-yr 3.5% coupon closed near unchanged at 102.97, -6bp. The Dow lost 66.90 points to 21,513.17, the S&P 500 fell by 2.63 points to 2,469.91, while the NASDAQ was up 23.05 points to 6,410.80 led by a record high close in the shares of Amazon (AMZN, $1,038.95, +$13.28). WTI oil closed at $46.34, +$0.57. 10-yr yield 2.25%. Tomorrow's economic data ... Consumer Confidence and S&P Case/Shiller Home Price Index. The Treasury will sell $26B 2-yr Notes, results at 1:00 p.m. ET.

Mon, Jul 24 3:59 PM NASDAQ closing at a record high - 6,412.
Mon, Jul 24 2:01 PM U.S. foreclosure filings down 20% from a year ago.
Mon, Jul 24 1:03 PM Treasury securities edge lower ahead with an eye on this week's supply.
Mon, Jul 24 12:21 PM MBS trade in a tight range today near unchanged.

Late morning Commentary:   The National Association of REALTORS® (NAR) reported on Monday the Existing Home Sales in June fell 1.8% from May to an annual rate of 5.52 million units, below the 5.58 million expected. Sales are up 0.7% year over year, the second lowest of 2017. Within the numbers it showed that first-time buyers made up 32% of total sales in June, slightly lower than 33% both in May and a year ago.

The NAR said that the decline in sales is due in part to the ongoing theme … a low supply of homes for sale on the market.The NAR went on to say that total housing inventory is at a 4.3-month supply at the current sales pace and has fallen year-over-year for 25 consecutive months. Normal inventory levels are around 6%. The median existing-home price for all housing types in June was $263,800, up 6.5% from June 2016 ($247,600).

The Federal Open Market Committee meeting kicks off this week beginning on Tuesday and ends Wednesday at 2:00 p.m. ET with the release of the monetary policy statement. There is currently a near zero percent chance of a hike to the short-term Fed Funds Rate. Investors will be looking for clues as to when the Fed will begin to taper its massive $4.5 trillion balance, which consists of Mortgage Backed and Treasury securities. 

Mon, Jul 24 10:57 AM MBS will receive support this morning as the New York Fed will purchase up to $1.575B in Fannie/Freddie 30-yr 3.5% and 4% coupons beginning at 11:15 a.m. ET.
Mon, Jul 24 10:37 AM MBS trade in a tight range near unchanged. Dow, -55 points.
Mon, Jul 24 10:06 AM June Existing Home Sales -1.8% from May to an annual rate of 5.52 million vs the 5.58 million expected.

 

 

Monday 9:36 AM ET  3.5% Fannie Mae 30-yr coupon up 3 bp at a price of 103.00  down 0 bp when rates were set Friday at 10:00 am et Open 103.00 High 103.00 Low 102.94

Numbers to watch for:

Currently Buying Opportunities for Traders

$102.60 100 Day Moving average

$102.78 High of 5/16/17

102.83 25 day moving

102.82 200 day moving average

102.95 50 day moving average

Currently Selling opportunities for Traders

103.00  traders keep their eye on round numbers and this is one them with lots of zeros  

103.12  Traders keep their eye numbers that have been resistance or support in the past.  This is one of them.

Mon, Jul 24 9:33 AM Freddie Mac to enter the rental market to increase affordability.
Mon, Jul 24 9:32 AM The S&P near unchanged at the open.
Mon, Jul 24 8:46 AM U.S. dollar index 93.73, +0.05.
Mon, Jul 24 8:28 AM WTI oil $46.16/barrel, +$0.39.
Mon, Jul 24 8:27 AM 10-yr T Note yield 2.24% from the 2.23% close on Friday.
Mon, Jul 24 8:23 AM June Existing Home Sales will be released this morning at 10.
Mon, Jul 24 8:22 AM The Treasury will sell $26B 2-yr Notes on Tuesday, $34B 5s on Wednesday and $28B 7s on Thursday, results at 1:00 p.m. ET.
Mon, Jul 24 8:16 AM The week features a full economic calendar along with the 2-day Fed meeting that begins on Tuesday and ends Wednesday with the 2:00 p.m. ET release of the monetary policy statement.
Mon, Jul 24 8:15 AM MBS begin the week near unchanged while Stock futures head lower ahead of a big earnings week.

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. On October 5th we started posting our rates and leaving them on the site for you to refer back to. This will allow  you see where actual rates have been along with the news that caused the fluctuations on the rate sheet.  I ask that you forgive my spelling and grammatical mistakes. This is due writing skills that are lacking and the need to communicate quickly.  Most of the information posted on this blog along with the charts and indexes are available all during the day to the subscribers of www.themortgagemarketguide.com  The cost of subscription is very reasonable.

Contact

John Marbury
jmarbury@nationalbankofcommerce.com
Mortgage Lender NMLS# 514390
NMLS# 740833
Phone:205-266-5669
Fax: 866-217-4174

813 Shades Creek Parkway
Birmingham, Alabama 35209
 

Mission Statement

To be the simplest and most informative mortgage website on the market today. To make the mortgage process as easy as possible, by informing and educating the consumer on what to expect and how much it is going to cost.

Sign Up Now!