The Rate Picture For 2006

Welcome to the new year … a time when people on main street pull up their blogs and start typing up resolutions; and a time when people on Wall Street pull out their darts and start aiming at market charts. Of course, we’re using the dart analogy in jest. It’s based on a long-running Wall

WeeklyBasis 12/05/05: Rates Up Slightly on Pre-Fed Hedge

Even though bond yields (a proxy for mortgage rates) are up about .125% this week after a string of positive economic news, most lenders’ rates opened the week unchanged. This happens in times of volatility, and it’s simple supply and demand. If rising rates are pushing borrowers out of the market, lenders end up with

WeeklyBasis 11/07/05: Rates in Line With Monetary Policy

We’re up another .125% on fixed and ARM rates this week, bringing the four-week increase to about .5%. Jobs growth came in weaker on Friday (which is usually good for rates), but wages came in higher. This was interpreted as another inflation signal, and rates rose accordingly. On Tuesday, the Fed made it’s twelfth .25%

WeeklyBasis 11/21/05: Consumer Confidence and Holiday Shopping

Rates are down about .125% this week over last, and we can expect markets to be tame going into the Thanksgiving weekend. I’m certainly thankful for that, as I’m sure you are too. The only big economic release this week is Consumer Confidence on Wednesday. It shouldn’t move markets much, because traders will be saving

Weekly Basis 11/15/05: Reprieve from Rising Rates

I mentioned last week we might have a reprieve from rising rates, and thankfully, that’s what we got. Rates are even this week over last. And so far, we’re seeing more of the same. Markets are trading mostly on inflation data this week, with Producer Prices today and Consumer Prices tomorrow. Producer Prices were slightly

Proposed Changes To Homeowner’s Tax Breaks

As the saying goes, “There are only two certainties in life: Death and Taxes.” But recently, even that seems uncertain. The tax part anyway. As you may have heard or read in the news, there’s currently a tax reform plan floating around Washington, DC that proposes changes to homeowners’ tax benefits. To be clear, it’s

WeeklyBasis 10/31/05: Rates May Climb A Bit More

In the past three weeks, fixed and ARM rates are up about .375%. Last week, the yield on the 10-year note (a critical benchmark for fixed mortgages and intermediate-term ARMs) was up 0.19% to hit 4.60%, which is just shy of the 4.69% high of 2005 which came on March 23. We may see more

WeeklyBasis 10/24/05: Bernanke Appointed to Succeed Greenspan

Rates are up about .125% since my last market report on October 10 (I was off last Monday). In the last report, I said rates may increase as we head toward the holidays, and this still holds. Energy prices are still high, and giving consumers less expendable income. As it gets colder, this price pressure