Delaware mortgage rate weekly mortgage market update for the week of January 14, 2013, by John R. Thomas with Primary Residential Mortgage in Newark, DE. John is the Newark, Delaware branch manager and the author of the book, Your Guide to Buying Your First Home in Delaware. Call 302-703-0727 to get a free mortgage planning consultation or APPLY ONLINE for Delaware mortgage loan

Delaware mortgage rates have been trending higher since December 6, 2012, when the mortgage bonds started selling off from all-time record highs. The bond chart shows the trend line going down from this date.  Mortgage bonds on Friday rallied to try and stop this downward trend and closed higher and above the line of support. This is encouraging news so we are recommending FLOATING your Delaware mortgage rate to see if rates can reverse course and move lower to start the week.

The stock market has rallied to 5 year high after the fiscal cliff deal was reached at the beginning of the year. The deal gave investors hope for an economic recovery in 2013 so money moved into the stock market at a record 19 Billion for the first week of the year. We could see money move back into the bond market as the US debt ceiling debate will be underway soon and any uncertainty around the issue will move investors back to the safe trade of bonds which could help home loan rates move lower.

The big news last week was the Weekly Initial Jobless Claims for January 5, 2013, which came in 4,000 higher at 371,000. People are looking for signs of the economy recovering which first shows up in decreasing weekly jobless claims and a lowering of the unemployment rate. A trend of higher initial claims could put a damper on the recovery. Currently, the unemployment rate is at 7.8% which is the lowest it has been since 2008.

Last week also saw the CFPB release its definition of a Qualified Mortgage which was required by the Dodd-Frank Law that was passed by Congress.  The definition in brief is:

Qualified Mortgage Loan  No points and fees above 3% for most loans. No more than a term of 30 years, cannot be interested only nor have negative amortization or, subject to a limited exception, balloon payment feature.

I am recommending FLOATING  your Delaware Mortgage Rate to see if mortgage bonds can rebound higher and move rates lower. Call 302-703-0727 to schedule a free mortgage consultation to get pre-approved for a mortgage to purchase a home or to refinance your existing mortgage to lower your rate and save thousands of dollars in interest. There are several special governments refinance programs to help underwater Delaware homeowners refinance. There is the FHA Streamline Refinance Program, the VA IRRRL Streamline Refinance Program, and there is the HARP 1.0 and HARP 2.0 refinance programs. Call us or e-mail us now to get more information or you can APPLY ONLINE.

The next Free Delaware First Time Home Buyer Seminar is Saturday, January 19, 2012, in Newark, Delaware, and Tuesday, January 15, 2013, in Dover, Delaware. Register by calling 302-703-0727 or Register online at http://www.delawarehomebuyerseminar.com/

Then next Free Maryland First Time Home Buyer Seminar is Saturday, February 9, 2013, in Towson, Maryland. Register by calling 410-412-3319 or Register online at http://www.MarylandHomeBuyerSeminars.com

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