Blog — First Rate Financial Group

15

Jun

Financial Reports

What’s Ahead For Mortgage Rates This Week – June 15th, 2026

With the inflation reports showing their cards, the Consumer Price Index has shown to be in line with expectations, but unexpectedly the Producer Price Index has come in substantially higher than expected.

This may indicate that future core cost increases are headed for consumers, as rising costs are passed through producers and businesses down to the customer level.

This is somewhat offset by Consumer Sentiment having risen, breaking a three-month downward trend. Largely due to the deal with Iran that took place this weekend, there appears to be considerable optimism that fuel prices will return to previous norms. This makes it very unlikely that the Federal Reserve will adjust rates either up or down in the coming week.

Consumer Price Index
The consumer price index rose at a seasonally adjusted 0.5% for the month, putting the annual inflation rate at 4.2%, both in line with expectations. The core CPI accelerated 0.2% for the month and 2.9% from a year ago. While the annual rate was in line with the forecast, the monthly gain was below the 0.3% estimate.

Producer Price Index
The producer price index increased a seasonally adjusted 1.1% in May, putting the 12-month wholesale inflation rate at 6.5%, the highest since November 2022. Excluding food and energy, the so-called core PPI accelerated 0.4%, compared with the consensus view of 0.5%, indicating that rising fuel prices are causing much of the inflationary burden.

Primary Mortgage Market Survey Index

15-Year FRM rates saw an increase of 0.05%, bringing the current rate to 5.84%.
30-Year FRM rates saw an increase of 0.04%, bringing the current rate to 6.52%.

MND Rate Index

30-Year FHA rates saw a -0.04% decrease, with current rate at 6.14%.
30-Year VA rates saw a -0.03% decrease, with current rate at 6.16%.

Jobless Claims
Initial Claims were reported to be 229,000 compared to the expected claims of 220,000. The previous week landed at 225,000.

What’s Ahead
A lighter release week ahead, with only the Federal Reserve Rate Decision on the horizon.

12

Jun

By First Rate Financial Group

Home Buyer Tips

Why The Cheapest Mortgage Is Not Always The Best Mortgage

It is natural to want the lowest possible mortgage cost. Buying a home is a major financial decision, and every dollar matters. But the cheapest mortgage on the surface is not always the best mortgage for your situation. A low rate or low fee means very little if the loan structure, service, or long-term fit does not support your goals.

Look Beyond the Lowest Rate
The interest rate is important, but it is not the only factor. A lower rate may come with points, higher closing costs, different terms, or tradeoffs that affect your total cost. Before choosing a mortgage, make sure you understand what you are paying upfront and what you are paying over time.

Speed and Certainty Matter
In a purchase transaction, timing can be critical. A lender who cannot meet deadlines, communicate clearly, or manage the process well can create stress for you, your agent, and the seller. A slightly cheaper option may not feel worth it if it puts your closing at risk.

Loan Fit Matters Too
The best mortgage should fit your credit, income, down payment, timeline, and long-term plans. A loan that looks cheaper today may not be the best match if it creates payment stress, limits flexibility, or does not align with how long you plan to keep the home.

Service Has Real Value
Good guidance can help you avoid mistakes. You want someone who explains the numbers, answers questions, prepares you for each step, and helps you understand your options. Mortgage decisions can affect your finances for years, so clear communication and responsible advice are valuable.

Compare the Full Package
When reviewing mortgage options, compare rate, closing costs, points, payment, loan terms, service, communication, and confidence in closing. The lowest number is only helpful if it comes with a loan, you understand and a process you trust.

A mortgage should not be chosen by price alone. The best choice is the option that balances cost, clarity, reliability, and fit. Sometimes the cheapest mortgage is the right one. Sometimes the better mortgage is the one that helps you close smoothly and live comfortably after the keys are yours.

11

Jun

By First Rate Financial Group

Mortgage Tips

Why Your Loan Type Should Match Your Long-Term Plan

Choosing a mortgage is about getting approved. It is about choosing a loan type that fits your goals, timeline, budget, and future plans. The right loan for 1 buyer may not be the right loan for another, even if they are buying similar homes. That is why your long-term plan matters.

Start With How Long You May Stay
Your expected timeline can influence the loan conversation. A buyer planning to stay for many years may think differently than a buyer who expects to move in a few years. The right structure may depend on whether you are focused on payment stability, lower upfront costs, flexibility, or building equity over time.

Understand Program Differences
Conventional, FHA, VA, USDA, jumbo, fixed-rate, and adjustable-rate options can each serve different needs. Some programs may offer lower down payment options. Others may have different credit, property, income, or insurance requirements. The best choice depends on the full picture, not just the name of the loan.

Match the Payment to Your Life
Your loan type affects your monthly payment, upfront costs, mortgage insurance, and long-term cost. A loan that helps you buy sooner may be valuable, but you should also understand how it affects your budget after closing. A lower upfront cost may come with a higher monthly payment, while a larger down payment may reduce certain expenses.

Consider Future Changes
Your life may change after you buy. You may start a family, change jobs, pay off debt, refinance later, move, rent out the home, or upgrade. While no one can predict everything, your mortgage strategy should leave room for realistic possibilities.

Ask for Scenarios
A good mortgage conversation should include options. Ask your mortgage originator to compare loan types, payment differences, cash needed to close, mortgage insurance, and potential tradeoffs. Seeing the numbers side by side can help you make a decision with more clarity.

The right mortgage is not just the one that gets you into a home. It is the one that supports the way you plan to live in that home. When your loan type matches your long-term plan, the decision can feel more stable, strategic, and personal.