04
May
By First Rate Financial Group
Financial Reports

What’s Ahead For Mortgage Rates This Week – May 4th, 2026

The latest Trade Balance data has shown that despite the rigorous action involved with tariffs, it has had little impact on adjusting the trade balance amongst the US and other countries. The imbalance has gone the other direction — becoming worse — the last 3 releases alone. 

The unemployment data has shown to be surprisingly resilient as people are not gaining nor losing jobs on the average. Amidst the current economic events and administrative events, there has been some job scarcity in many markets but the impact has not been shown in the data. 

Hourly wages has also again consistently lagged behind inflation, and this release has shown that trend to remain. The next week there is scheduled inflation data from the CPI and PPI reports set to release, but they have been often delayed with the current affairs.

U.S. Trade Deficit
U.S. Trade Deficit Widens Less Than Expected To $57.3 Billion In February: A report released by the Commerce Department on Thursday showed the U.S. trade deficit increased by less than expected in the month of February. The Commerce Department said the trade deficit widened to $57.3 billion in February from a revised $54.7 billion in January.

Unemployment
The number of people who applied for unemployment benefits in late April sank to a 57-year low, underscoring the remarkably low level of layoffs in the U.S. economy amid heavy turbulence. So-called initial jobless claims sank by 26,000 to 189,000 in the seven days ended April 25, the government said Thursday. That’s the lowest level since 1969, when the population and the economy were much smaller.

The U.S. jobs market has shown surprising strength in the past few years, even as hiring nosedived in response to higher tariffs, a decline in immigration and general economic uncertainty.

Primary Mortgage Market Survey Index

  • 15-Year FRM rates saw an increase of 0.06%, with the current rate at 5.64%
  • 30-Year FRM rates saw an increase of 0.07%, with the current rate at 6.30%

MND Rate Index

  • 30-Year FHA rates saw an increase of 0.01% for this week. Current rates at 5.92%
  • 30-Year VA rates saw an increase of 0.01% for this week. Current rates at 5.94%

Jobless Claims
Initial Claims were reported to be 205,000 compared to the expected claims of 189,000.

What’s Ahead
Inflation data from the CPI and PPI is scheduled for next week, though ongoing delays may push back the releases.

01
May
By First Rate Financial Group
Mortgage

How Much House You Should Buy vs. How Much You Can Buy

One of the most common misconceptions in home buying is that the amount you are approved for is the amount you should spend. In reality, lenders calculate the maximum you qualify for based on your income, debts, and credit profile.

That number represents the upper limit of what may be acceptable from a lending perspective, not what will feel comfortable in your day-to-day life. Buying at the top of your approval range can leave very little room for flexibility, which can become stressful over time.

Your Monthly Payment Is Only Part of the Picture
Many buyers focus heavily on the mortgage payment itself, but that is only one piece of the overall cost. Property taxes, homeowners  insurance, utilities, and maintenance all contribute to your total monthly expenses. These additional costs can vary depending on the home and location, and they often increase over time. A home that seems manageable based on the mortgage alone may feel much more expensive once everything is included.

Lifestyle Should Guide Your Decision
Your home should support your lifestyle, not limit it. When you stretch your budget to the maximum, you may find yourself cutting back in other areas such as travel, savings, or everyday spending. A lifestyle first approach means choosing a home that allows you to maintain balance. This includes having room for emergencies, future goals, and the activities that matter most to you. Financial comfort plays a key role in long-term satisfaction with your home.

Planning for Future Changes
Your financial situation today may not look the same in a few years. Changes in employment, family size, or personal goals can all impact your budget. Leaving some margin between what you can afford and what you choose to spend gives you flexibility. It allows you to adapt without feeling financially strained. Buyers who plan for the future tend to make more sustainable decisions.

Peace of Mind Is a Long-Term Benefit
Owning a home should bring a sense of stability and security. When your payment fits comfortably within your budget, you are less likely to feel pressure from unexpected expenses or changes in income. This peace of mind allows you to enjoy your home rather than worry about it. In many cases, choosing a slightly less expensive home can lead to a better overall experience.

A Smarter Approach to Buying
The goal is not to buy the most expensive home you can qualify for, it is to buy the right home for your life. By focusing on affordability, lifestyle, and long-term flexibility, you can make a decision that supports both your present and your future.

30
Apr
By First Rate Financial Group
Mortgage Tips

The Biggest Mortgage Mistakes People Make After They Apply

One of the most common mistakes buyers make after applying for a mortgage is changing their financial situation too quickly. This can include opening new credit cards, finance a car, or make large purchases. Even if you have already been pre-approved, lenders continue to monitor your financial profile until closing.

Any new debt or change in your credit can affect your approval status. The safest approach is to keep everything as stable as possible until your loan is finalized. What may seem like a small change can have a larger impact than expected.

Changing Jobs or Income Without Planning
Switching jobs during the mortgage process can create complications, especially if the income structure changes. For example, moving from a salaried role to commission-based income may require additional documentation or time to verify. Even if the new position offers higher pay, the change itself can slow down the approval process. If a job change is necessary, it is important to communicate with your lender early so they can guide you on how it may affect your loan.

Delaying or Ignoring Document Requests
During underwriting, lenders often request additional documents to verify your financial information. These requests are a normal part of the process, but delays in responding can slow everything down. Waiting too long to provide documents can push back your closing date or create unnecessary stress. Staying organized and responding quickly helps keep your loan on track and shows that you are committed to moving forward.

Making Large or Unusual Deposits
Depositing large sums of money into your bank account without clear documentation can raise questions. Lenders are required to verify where funds come from, especially when they are being used for your down payment or closing costs. Without proper documentation, these deposits can cause delays. It is best to avoid moving large amounts of money around unless you have discussed it with your lender first.

Losing Focus Near the Finish Line
As closing gets closer, some buyers assume that everything is already finalized. This can lead to missed emails, delayed responses, or a lack of attention to final details. The truth is that your loan is not complete until all conditions are cleared and documents are signed. Staying engaged through the final steps ensures that nothing unexpected interferes with your closing.

Staying Consistent Is the Key to Success
The mortgage process is built around consistency and verification. Lenders want to see that your financial situation remains stable from application to closing. By avoiding major changes, staying responsive, and keeping your finances organized, you increase your chances of a smooth experience. Small mistakes can create delays, but careful attention can help you reach the finish line without unnecessary issues.