This is my daily advice on floating or locking your Delaware Mortgage Rate for Thursday, February 19, 2009.

The PPI index rose unexpectedly when reported today.  The PPI is a measure of inflation. Higher inflation is bad news for fixed income investments like mortgage bonds. Mortgage bonds sold off when news was released, Bonds traded in a wide range as investors tried to digest the PPI news. The Feds released that they bought about 20 billion in Mortgage-backed securities from Feb 12 to Feb 18.  Oil prices have jumped today on news of higher consumption and lower inventories which was very surprising to the market.

The stock market hit a 6 year low by dipping below 7500.

My advice is to carefully FLOAT if you did not lock yesterday. Mortgage bonds hit a tough ceiling of resistance and bounced lower today.  Rates have risen today but could recover tomorrow which is why I recommend carefully floating.  If sell-off continues tomorrow then LOCK your rate.

If you need advice or help with a Delaware Mortgage Rate please feel free to call me at 302-368-7132 or send an e-mail to DelawareMortgages@yahoo.com.

If you are a Delaware Home Buyer then you should register for our Delaware Home Buying Seminar this Saturday, February 21, 2009, at 10:00 AM at our office in Newark, Delaware. The seminar will cover Delaware FHA loans, Delaware USDA loans, Delaware VA loans, and much more.

If you would like to apply for a Mortgage Loan, you can APPLY ONLINE HERE, you can call John Thomas at 302-703-0727.

John R. Thomas – NMLS 38783

Certified Mortgage Planner – Primary Residential Mortgage, Inc.

302-703-0727 DE Office / 610-906-3109 PA Office / 410-412-3319 MD Office

248 E Chestnut Hill Rd, Newark, DE 19713