Delaware Mortgage Rates Weekly Market Update for September 29, 2014

John Thomas September 28, 2014 Tags: Delaware Home Loans, Delaware Mortages, Delaware Mortgage Rates, John Thomas, mortgage loans, primary residential mortgage

Delaware Mortgage Rates weekly mortgage market update for the Week of September 22, 2014, by John R. Thomas with Primary Residential Mortgage, Inc. in Newark, Delaware. John Thomas is the Newark, Delaware Branch Manager and the author of the best selling book, Your Guide to Buying Your First Home in Delaware. Call 302-703-0727 to get a mortgage planning consultation or APPLY ONLINE for Delaware mortgage loan

Delaware Mortgage Rates were able to move lower last week as mortgage bonds rallied higher all week. If you look at the mortgage bond chart below you can see the short term trend for mortgage bonds is to move higher which has move mortgage interest rates lower. Mortgage bonds did sell off on Friday but were able to rally back to end the day. We are recommending cautiously FLOATING your Delaware Mortgage Rate to start the week. We recommend watching the market carefully as the bond market could try to sell off again on follow-through from Friday and move mortgage interest rates higher again in the short term. If the bond does sell off, we would quickly switch to a LOCKING stance.

In Economic News, Friday we saw the release of the final reading of Gross Domestic Product (GDP) which came in at 4.6%. The GDP measures the value of all goods and services produces by the United States and is considered the broadest measure of overall economic activity. This reading for Q2 is a big improvement from Q1 which was a -2.1%.

Thursday we saw the release of the Weekly Initial Jobless Claims which increased by12k claims from 281,000 to 293,000 jobless claims. This was better than the 300k claims expected and claims below 300k points to a good job report for September 2014.

In Housing News, New Home Sales for August 2014 were released on Monday and New Home Sales surged higher by 18 percent from July to 504,00 sales. This was the highest level since 2008. This was the first gain in New Home Sales since May 2014.

Existing Home Sales for August 2014 were released on Monday and declined by 2% from July to 5.05 Million Units from 5.14 Million Units in July. This was the first decline in Existing Home Sales in five months and is attributed mostly to a decline in all cash sales.