Blog — Page 681 of 918 — First Rate Financial Group

20

Mar

Mortgage Rates

What’s Ahead For Mortgage Rates This Week – March 20, 2017

Last week’s economic readings included reports on inflation and core inflation, the National Association of Home Builders Association Housing Market Index and Federal Reserve FOMC statement and press conference by Fed Chair Janet Yellen. The Commerce Department released reports on housing starts and building permits issued.

Home Builder Confidence, Housing Starts Rise

The National Association of Home Builders Housing Market Index for March rose by six points to an index reading of 71. Builders said that subsequent readings may ease as builders continue to face shortages of lots and labor. The President said that he would work to reduce regulations affecting builders, which likely contributed to March’s increased confidence reading. Housing industry leaders continue to monitor builder confidence as it could signal increased development and building. Home sales figures have been held back due to lack of available homes and industry leaders repeatedly say that building new homes is the only way to release the bottleneck in single-family home sales.

High demand for homes has created rapid escalation in home prices in high-demand metro areas; this sidelines first-time and moderate income buyers.

Housing starts rose in February according to the Commerce Department. 1.288 million starts were reported on a seasonally adjusted annual basis; January’s reading was 1.288 housing starts on a seasonally-adjusted annual basis. Building permits issued were lower in February with 1.213 million permits issued as compared to 1.293 million permits issued in January.

Mortgage Rates, Federal Funds Rate Higher

Although Freddie Mac’s Primary Mortgage Market Survey of average mortgage rates was completed prior to the Fed’s decision to raise its federal funds rate, mortgage rates were higher. The average rate for a 30-year fixed rate mortgage rose nine basis points to 4.30 percent. The average rate for a 15-year mortgage fixed rate mortgage was eight basis points higher at 3.50 percent. The average rate for a 5/1 adjustable mortgage rose five basis points to 3.28 percent.

After it’s meeting concluded Wednesday, The Federal Open Market Committee, which sets monetary policy for the Federal Reserve announced its decision to raise the target federal funds range from 0.50 to 0.75 percent to 0.75 to 1.00 percent. The post-meeting statement cited stronger economic conditions that advanced the Fed’s dual mandate of achieving maximum employment and stable pricing. Inflation was noted to be nearing the Fed’s mid to long range goal of 2.00 percent annually and the national unemployment rate has held steady in the past several months.

Fed Chair Janet Yellen said in a press conference that the federal funds rate may be raised two more times in 2017, but the FOMC statement and Chair Yellen said that FOMC members base monetary policy decisions on current information relating to domestic and global economic developments.

Inflation grew by 0.10 percent in February as compared to January’s growth rate of 0.60 percent. The core Consumer Price Index, which excludes volatile food and energy sectors. Rose by 0.20 percent as expected and was lower than January’s reading of 0.30 percent growth.

17

Mar

By support

Around The Home

Spring Fever: How to Detect If Allergy Hotspots Are Developing in Your Home

Spring Fever: How to Detect If Allergy Hotspots Are Developing in Your Home The spring season may be a time of cherry blossoms and longer days, but it’s also common for allergies to ramp up. While you won’t be able to stop the season, there are things you can do to limit the impact of allergies in your home. If you’re wondering what has the greatest impact on your sinus health in the home, here are a few places you’ll want to check out.

Have You Looked Under The Bed?

Many diligent housecleaners will do a sweep under the bed each time, but for those of us who want to avoid pulling everything out, this area can be a very dusty spot. Next time you clean the house, take the time to remove everything out from under the bed that’s been collecting dust, whether there are old boxes, shoes or things you’ve forgotten about. Dust everything off, vacuum the area underneath and you’ll be well on your way to a cleaner air space.

Do You Like The Retro Rug?

Most vintage looks come back for business, and the shag rug is no exception; however, this style of carpet captures a lot of dust and can greatly impact your sinus health. If this is your favorite style of carpet, you’ll want to ensure you vacuum it frequently to pull out all of the dust. In the future, you may also want to opt for a different style of floor covering, as something lightweight and durable will be a better option when it comes to cleaning and taking care of yourself.

Blame It On The Bookshelf

There are few things that will collect dust like a bookshelf lined with old books. Unfortunately, bookshelves and books can be one of the most rarely dusted areas in the house since it’s a more time consuming task to pull out each book and wipe down the shelves. If you don’t want to downsize, you may want to take a damp cloth to your bookshelf every time you clean to give it a once over. Ensure you clean it more carefully at the end of each month to avoid dust buildup.

There are a lot of areas where dust can accumulate in the home and make allergies worse, but by checking under the bed and dusting the books you can avoid its worst ills.

16

Mar

By support

Home Building Tips

NAHB: Home Builder Confidence Highest in 12 Years

According to the National Association of Home Builders Housing Market Index for March, builder confidence in market conditions reached its highest level in 12 years and was six points higher than February’s index reading of 65.

Housing market index readings are based on three components. Builder confidence in current market conditions for new single family homes rose seven points to 78; builder confidence in market conditions for the next six months increased five points to an index reading of 78. Most surprising was the reading for buyer traffic in new housing developments, which eight points to 54 in March. Buyer traffic readings typically don’t exceed the benchmark reading of 50, which indicates neutral builder sentiment. Builder confidence in buyer traffic for March surpassed 50 only twice since the housing bubble era.

Housing Market Index Readings Expected to Moderate in Coming Months

Robert Dietz, Chief Economist for NAHB, said that Housing Market Index readings will probably be more moderate in coming months as builders continue to face obstacles. Builders cited rising costs for materials and ongoing shortages of labor and lots. On the upside, builders surveyed said that a less regulatory environment contributed to higher confidence readings.

While home builder confidence is higher, the connection between confidence and building more homes isn’t matched by housing starts. Builders also said that rising mortgage rates are a barrier to buying new homes. The Federal Reserve’s Federal Open Market Committee raised the target federal funds rate to 0.75 to 1.00 percent on Wednesday; federal rate hikes typically influence private lenders to raise consumer rates including mortgage rates.

In a post-meeting statement, Fed officials said that the federal funds rate remains accommodative and will continue to sustain economic growth and the Fed’s goal for a long-run inflation rate of 2.00 percent. The Fed cited its dual mandate of achieving maximum employment and price stabilization as supporting its decision to raise rates, but stated that actual decisions to raise the federal funds rate are based on close readings and information about global and domestic economic developments; future decisions could be impacted by emerging economic factors.