Delaware Mortgage Rates Weekly Update for September 23, 2013
Delaware Mortgage Rates weekly market update for the week of September 23, 2013, by John R. Thomas with Primary Residential Mortgage in Newark, Delaware. John Thomas is the Newark, Delaware Mortgage 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 dropped lower by about 0.25% after the Federal Reserve announced on Wednesday that they would not start tapering their asset purchase program called QE3. The mortgage bond market surged higher on the news and caused home loan rates to drop back lower by about 0.25%. If you look at the mortgage bond chart below you can see the big green candle on Wednesday which was the biggest one day gain since August 2011. We are recommending LOCKING your Delaware Mortgage Rate to start the week as mortgage bonds are up against a tough layer of resistance to move any higher.
In Economic News, the Federal Reserve announced on Wednesday that they would not begin tapering the purchases of mortgage bonds and US Treasuries but would continue purchasing $85 Billion per month. This caused both stocks and bonds to rally on the news. Bernanke in an interview after the release of the Fed Statement stated that the US economy was still not strong enough to warrant tapering now but might by the end of the year.
Thursday saw the release of the Weekly Initial Jobless Claims which came in at 309,000 claims which were up 15,000 claims from previous week but below the 340,000 claims expected. But two states are still working through a backlog of unprocessed claims so look for revisions to come to that move these numbers higher. So nobody is putting much stock in the numbers right now that show claims dropping until those two states get caught up with reporting the total number of claims.
In Housing News, Housing Starts for August 2013 rose by 0.9% from July 2013 to 891,000 units annualized but this was below expectations of 910,000 units. July 2013 Housing Starts were revised even lower at 883,000 from 889,000. The drop was mainly due to a slowing in multi-family dwellings so construction of single-family homes is still going strong and shows a strong housing market. Building Permits for August dropped by 3.8% from July 2013 to 918,000 units annualized. Building Permits is a sign of future construction. The drop in building permits was from multi-family dwellings as single-family home permits actually surged higher which is another sign a very strong housing recovery as builders continue to build at a greater pace.
Existing Home Sales for August 2013 were reported and came in much better than expected, existing sales were up 1.7% and home prices for August 2013 were up a whopping 14.4% from August 2012!! The inventory is still very tight with only a 4.9 month supply of homes for sale which points to continued home price appreciation. The other big news from the housing report is that distressed sales only accounted for 12% of all sales which is down from 1/3 of all sales.
Call 302-703-0727 to schedule a 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 Delaware First Time Home Buyer Seminar is Saturday, October 12, 2013, in Newark, Delaware and Free First Time Home Buyer Seminar on Saturday, September 28, 2013, in Dover, Delaware. Register by calling 302-703-0727 or Register online at http://www.delawarehomebuyerseminar.com/
Then next Maryland First Time Home Buyer Seminar is Saturday, October 19, 2013, in Towson, Maryland. Register by calling 410-412-3319 or Register online at http://www.MarylandHomeBuyerSeminars.com
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