Mortgage Rates Weekly Update for March 16, 2015
Mortgage Rates weekly market update for the Week of March 16, 2015, by John R. Thomas with Primary Residential Mortgage, Inc. in Newark, Delaware. John Thomas is the Branch Manager and the author of the best selling book, Your Guide to Buying Your First Home in Delaware. Call 302-703-0727 for a Rate Quote or Apply Online for Rate Quote
Mortgage Rates were finally to stop moving higher last week after bonds found support. If you look at the mortgage bond chart below, you can see that mortgage bonds were able to rally back on Monday after previous week sell-off after Jobs Report. Bonds were able to move higher during the week which has caused the short term trend for mortgage bonds to be upward. This could help move home loan interest rates lower in the coming week so we are recommending FLOATING your Mortgage Rate to start the week.
In Economic News, the Producer Price Index (PPI) for February 2015 which is a measure of inflation at the wholesale level dropped by 0.6% and the headline PPI dropped from flat on a year over year basis to -0.6%. This is the first time ever we had a negative PPI in a 12 month period on record. This means that we have deflation at the wholesale level.
Retail Sales for February 2015 dropped 0.6% which is after a drop of 1.1% in January 2015. This is the third month in a row of Retail Sales dropping which is not good news for the economy. The recent drop in gasoline prices was supposed to help consumers spend money but that hasn’t happened.
Weekly Initial Jobless Claims came out on Thursday and they dropped by 36,000 claims from the previous week to 286,000 claims. Jobless claims have been moving up and down lately and this drop comes after last weeks reading of 325,000 claims which were a 10 month high. This week’s reading on jobless claims will be important because it is the week that will be used for the sample for the March Jobs Report.
In Housing News, CoreLogic released its National Foreclosure Report for January 2015 which showed that foreclosures continue to improve as only 559,000 homes were in some form of foreclosure which is down from 822,000 in January 2014.
Freddie Mac released its March U.S. Economic & Housing Outlook Report for 2015 and it is supposed to be the best market for Home Sales and New Home Construction since 2007 with 5.8 Million Homes expected to be sold.
USDA Rural Housing Loan Underwriting Turn Times at Rural Development for files in Delaware as of 3/13/2015 they are working on reviewing files that have been submitted on 3/6/2015 so they are taking about 5 days to review files currently so plan your closing dates accordingly.
First Time Home Buyer Seminars Coming Up:
The next Delaware First Time Home Buyer Seminar is Saturday, April 18, 2015, n Newark, Delaware.
Register by calling 302-703-0727 or Register online at http://www.DelawareHomeBuyerSeminar.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