TODAY’S RATES & HOUSING NEWS Interest Rates moved up .15% this week with the Mortgage…
🎈Will the Fed Cut Rates by 25 or 50 BPS? What You Need to Know!
VIDEO UPDATE:
Mortgage Interest Rate Update. What Will The FED Do? (youtube.com)
TODAY’S RATES & HOUSING NEWS
Interest Rates improved approximately .1%
with the Mortgage Backed Security (MBS)
market trading up + 25 bps over the past
7 days.
All eyes are on the FED this week –
will they lower the Federal Funds
Rate 25 bps or 50 bps?
The CPI August Inflation report last
week suggested that the FED would
likely cut their Federal Funds Rate
25 bps as inflation numbers came
out close to estimates. Year over
Year inflation came in at 2.5% while
core inflation came in at 3.2%.
On Friday, market expectations started
to change, showing that there could
be a 50 bps rate reduction after
reports and statements came out
from various sources hinting that 50
bps was the likely direction.
The FED Futures market is predicting
a 65% chance that the FED lowers the
Federal Funds Rate by 50 bps
on Wednesday.
This is very important.
I hear many Realtors tell their clients
that mortgage interest rates will drop on
Wednesday. That is not necessarily true.
The average 30 Year Fixed Interest
rate on July 1st was 7.14% The
average 30 Year Fixed Interest Rate
today is 6.12%
Interest rates have already dropped
with the expected Federal Funds Rate
drop. They could certainly drop more
based on a 50 bps drop and a statement
implying heavy rate cuts at future
meetings, but interest rates could
also stay relatively the same.
See video below explaining this:
Whatever happens Wednesday, I do expect
mortgage interest rates to gradually decline.
This will likely trigger much higher refinance
activity and more buyer demand for housing.
Below are Mortgage News Daily’s
average interest rates across the
country. There are a lot of characteristics
that go into a mortgage rate – credit
score, investor, loan to value, loan
amount, costs, etc.
Please call me to go over your specific
scenario so we can price your loan
out accurately.
OR reply to this email with the answers
to the questions below for Mortgage
Options for your scenario.
REFINANCE QUOTE:
Goal of Refinance – Lower Payment, Cash Out, Etc:
Address of Home:
Estimated Value Of Home:
Current Loan Amount:
Loan Amount You Would Like to Finance:
Current Rate:
Do you know what type of Loan you are Currently in – FHA, VA, etc:
Estimated Credit Score:
Are You a Veteran or Active Member of the US Military:
If you are a Veteran, do you get VA Disability:
PURCHASE QUOTE:
What City and State Are You Looking to Buy In:
Estimated Purchase Price:
Loan Amount You Would Like to Finance:
Will Property be a Primary Residence, Investment Property, or Vacation Home:
Estimated Credit Score:
Are You a Veteran or Active Member of the US Military:
If you are a Veteran, do you get VA Disability:
Thank you!
COULD A REFINANCE BENEFIT YOU?
With the average 30 Year Fixed interest
rates at 6.12% today (rates can be lower
than that based on scenario and cost
considerations), when could a rate and
term refinance benefit you?
An easy way to find out if rates were
higher when you completed your last
mortgage is by looking at the average
30-year fixed interest rate chart below.
The Average 30-Year Fixed Interest Rates
popped over 7% in:
March of 2023
June of 2023 – December of 2023
February of 2024 – July of 2024
If you completed your mortgage
during or around these times, it’s a
good idea to assess your situation to
see if a refinance may make sense.
SEPTEMBER 2024 – REAL
ESTATE MARKET REPORT
Here is the audio for Keeping Current
Matters September 2024 Real Estate
Market Report:
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Have a great week!
