Scott Kinne First Heritage Mortgage

Scott Kinne's Mortgage information Blog

  • About Scott
  • Testimonials
  • Resources
    • First Time Home Buyer Tips
    • First Time Home Seller Tips
    • Closing Costs
    • Home Appraisal
    • Home Inspection
    • Affordable Credit Repair
    • Interest Rates
    • Loan Programs
    • Loan Process
    • Loan Checklist
    • Mortgage Glossary
    • Mortgage FAQ
  • Main Website
  • Contact
  • Apply

Mortgage Markets In Review : January 5, 2008

January 5, 2009 by Scott Kinne

Like the rest of the country, mortgage markets were on semi-vacation last week. The low trading volume led to wild rate swings.

After beginning the week vastly improved, and capped by a terrible late-Friday run, mortgage rates ended the week unchanged for the second week in a row.

This week, though, it’s anyone’s guess. Wall Street comes back to work in force and, in the time since they’ve left, there’s been a lot going on:

  • Holiday sales were even slower than expected
  • Consumer confidence touched an all-time low
  • Gas prices spiked nationally — by as much as 40 cents in some areas

Ironically, Wall Street will likely position the bad news as good for the stock market. This is because negative economic data pressures Congress to pass larger, more sweeping stimulus in 2009. However, what’s good for stocks is often bad for bonds and that’s the market from which mortgage rates are derived.

In fact, it was an exceptionally weak data point Friday that helped start the January 2 stock market rally that, consequently, caused mortgage rates to bulge.

This week, there’s only one high-profile data point to watch — Friday’s jobs report. Economists are predicting the another 475,000 Americans lost their jobs in December and that the Unemployment Rate reached 7.0 percent.

If the actual numbers are in-line or worse than the predictions, mortgage rates could rise on the same “More Stimulus” line of thinking.

If the jobs data shows strength, however, don’t expect that rates will fall. For now, markets are in a defensive stance about the economy and tends to work against rate shoppers and home buyers.

Filed Under: Uncategorized

Scott Kinne

Contact Scott

Vice President, Senior Loan Officer
NMLS ID #182351
Office: 703.293.6146
Mobile: 571.237.6241
Fax: 571.317.2478
skinne@fhmtg.com

Licensed In Maryland, Virginia, Washington D.C., West Virginia
  LOAN APPLICATION
  FREE RATE QUOTE

Connect with Me!

Sign Up For My Free Newsletter

Categories

Recent Posts

  • 3 Things That Will Absolutely Kill Your Chances for a Mortgage Approval
  • Mortgage Interest Rate Versus APR: What To Know
  • Navigating A Market With Higher Interest Rate
  • Understanding Mortgage Pre-Approvals and How to Avoid Being Declined for One
Equal Housing Lender
nmlsconsumeraccess.org
First Heritage Mortgage, LLC, Company NMLS ID #86548

Our Location

3201 Jermantown Road
Suite 800
Fairfax, VA 22030
Business: 703-293-6146
Cellphone: 571-237-6241

Copyright © 2023 · Powered by MySMARTblog