Blog — Page 753 of 880 — First Rate Financial Group

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Nov

Market Outlook

What’s Ahead For Mortgage Rates This Week – November 30, 2015

Whats Ahead For Mortgage Rates This Week November 30 2015

Although last week’s economic calendar was cut short by the Thanksgiving holiday, several housing-related reports were released. The FHFA reported on third quarter results for its Housing Market Index and the Commerce Department reported on new home sales for October. Freddie Mac released its weekly report on mortgage rates and data on new weekly jobless claims was also released.

FHFA, Commerce Department report Gains for Home Prices, New Home Sales

Home prices for mortgages associated with mortgages owned or backed by Fannie Mae and Freddie Mac increased 1.30 percent during the quarter ended September 30. This was the 17^th consecutive seasonally adjusted quarterly increases for home prices based on sale-only transactions. FHFA home prices rose by 0.80 percent from the second to third quarter of 2015 and rose by 5.70 percent from third quarter 2014 to third quarter 2015 readings.

New home sales rose by a seasonally adjusted annual rate of 10.70 percent to 495,000 sales based on a downwardly revised September reading of 447,000 new home sales.

New home sales results were mixed according to the Commerce Department. Sales of newly built homes rose by an astounding 135.30 percent in the Northeast and increased by 8.90 percent in the South and by 5.30 percent in the Midwest. Sales of new homes declined in the West with a reading of -0.90 percent.

Home shoppers received good news as the median price of a new home fell 6 percent to $281,500. Inventory of new homes increased to its highest level since 2010. Higher inventory could ease demand and rapidly rising home prices associated with low supplies of new homes for sale.

Mortgage Rates Mixed, Jobless Claims Lower

Average mortgage rates varied last week according to Freddie Mac. 30-year fixed mortgage rates were two basis points lower at 3.95 percent; the average rate for a 15-year fixed rate mortgage was unchanged at 3.18 percent, and the average rate for a 5/1 adjustable rate mortgage was three basis points higher at 3.01 percent. Average discount points where 0.70 for a 30 year fixed rate mortgage and averaged 0.50 percent for 15-year fixed rate mortgages and 5/1 adjustable rate mortgages.

New jobless claims fell from the prior week’s reading of 272,000 new claims to 260,000 new claims. Analysts expected a reading of 270,000 new claims. The four-week rolling average of new jobless claims was unchanged at 271,000 after an adjustment to the prior week’s average of 270,750 new claims to a weekly average of 271,000 claims filed over the previous four weeks.

What’s Ahead

This week’s scheduled economic news includes reports on construction spending along with Labor Department releases on the national unemployment rate and Nonfarm Payrolls. Freddie Mac’s report on mortgage rates and weekly data on new jobless claims will be released as usual.

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Nov

By support

Market Outlook

S&P Case-Shiller: September Home Prices Gain Across U.S.

SP CaseShiller September Home Prices Gain Across US

Home prices increased across the S&P Case Shiller 20-City Home Price Index in September. According to the 20-City Home Price Index, Year-over year home price gains increased to 5.50 percent from August’s reading of 5.10 percent. 17 cities posted higher year-over0year price gains in September as compared to August.

Western cities led price gains with San Francisco, California reclaiming its lead with a year-over-year gain of 11.20 percent in September. Denver, Colorado followed with a year-over-year gain of 10.90 percent and Portland, Oregon achieved the third highest year-over-year home price gain of 10.10 percent. Phoenix, Arizona had the longest consecutive run of year-over-year price gains for ten months and had a year-over-year gain of 5.30 percent.

Month-to Month Home Prices Indicate Stronger Housing Markets

After seasonal adjustment, the 20-City Home Price Index reported a month-to-month gain of 0.60 percent in September with home price gains in 19 cities. David M. Blitzer, Chairman of the S&P Indices Committee, said that home prices are growing at more than twice the rate of inflation. While this is good news for home sellers, it also means that home buyers are finding that home prices are rising faster than other economic sectors. Rising home prices present a challenge for first-time and moderate income home buyers. First-time buyers drive housing markets as their home purchases bring new demand into the market and allow current homeowners to move up to larger homes.

Mr. Blitzer also said that in spite of widespread media coverage of the Federal Reserve’s likely plan to raise its target federal funds rate from 0.00 to 0.250 percent to 0.25 to 0.50 percent in December, the increase in the federal funds rate should not cause an major rise in mortgage rates, which are expected to stay near 4.00 percent for a 30-year fixed rate mortgage.

Based on readings for national median income, median home price and average mortgage rates, Mr. Blitzer said that affordability for homeowners within the median income range who were buying median priced homes had “slipped recently.”

Year-end reports on housing markets and general economic conditions will likely cause adjustments to forecasts for home prices and affordability. Strong labor markets may improve affordability for home buyers and the actual impact of any Fed move to raise rates will influence housing markets and home prices in 2016.

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Nov

By support

Home Buyer Tips

Goodbye, Junk! 5 Tips for Reducing the Amount of ‘Stuff’ You Need to Move to Your New Home

Goodbye, Junk! 5 Tips for Reducing the Amount of 'Stuff' You Need to Move to Your New Home Are you in the process of buying a new home? Then now is the perfect time to finally go through all the clutter and make some tough decisions about what needs to move with you and what needs to go away.

There is no point in waiting until after a move to go through the junk lying around, as tempting as it may be, so here are five ways to decide what should find a new home before a move.

Start With A Trip To The Dump

Before starting your move, grab some garbage bags and do a sweep of the house, making sure to toss out anything that needs to go to the dump. This will clear up the home of anything unnecessary and makes it easier to throw out some items when there’s no decision making pressure.

Decide What Furniture Will Be Replaced In Advance

A new home often means new furniture. By deciding in advance which items will be purchased new, homeowners can prepare to either sell or give away their older furniture before they move. Saving space and cutting down one extra step after moving in.

Sell Or Donate What You Don’t Need

Holiday decorations are the perfect example of items that are only taken out once a year and tend to be replaced before they are ever reused. There are probably similar boxes or shelves in every home filled with items that will never be used again but are still held onto.

Now Is A Good Time To Go Through The Closet

Clothes are not looked at as seriously as other objects when clearing space because they can easily fold down or be tucked away. It’s simpler for most people to just throw all their clothes in a box or travel bag before moving, but this is the perfect time to finally go through and donate anything that doesn’t fit or is never worn.

Be Patient With Children

It is hard for kids to part with their toys, even ones they haven’t used in years. These are part of their identity and telling them what they need to throw out can impact them emotionally and make a move that much harder. Sit down with the children and have a long talk about moving and donating items to see if they are ready to go through their things.