Salient to Investors: Banks are offering jumbo mortgages – too big for government programs – at rates at or below taxpayer-backed loans, while the extra cost of 30-yr fixed jumbo loans averaged a 6-year low of 0.16 percent in June. Paul Miller at FBR Capital Markets said bigger loans are becoming relatively cheaper
READ MORE... →Salient to Investors: Freddie Mac said the average rate for a 30-yr fixed mortgage rose to 4.46 percent, the biggest one-week increase since 1987. Freddie Mac said rates would have to rise to 7 percent before a home at the US median price would be unaffordable to a family with median
READ MORE... →Salient to Investors: Freddie Mac said the average rate for a 30-yr fixed mortgage rose to 4.46 percent from 3.93 percent, the biggest one-week increase since 1987. The average 15-yr rate climbed to 3.5 percent from 3.04 percent. The average rate for a 30-yr mortgage in the 10 years through last
READ MORE... →Salient to Investors: Corporate creditworthiness in the US is deteriorating at the fastest pace since 2009 with earnings growth slowing as yields rise from record lows. Moody’s said the ratio of upgrades to downgrades fell to 0.89 times in the first 5 months of the year after reaching a post-crisis
READ MORE... →Salient to Investors: Paul Willen at FRB of Boston said if people believe house prices are going up, credit availability will evolve because there is too much money to be made lending to homebuyers. Freddie Mac said the average rate for a 30-year fixed loan is at 3.93 percent versus 3.35 percent in May and
READ MORE... →Salient to Investors: Freddie Mac said the average 30-yr fixed-rate mortgage is at 3.91% versus 3.3% in early May. Doug Duncan at Fannie Mae said it is unlikely that rates will ever be that low again because when QE ends, private investors will demand higher rates for borrowers. The Fed will stop
READ MORE... →Salient to Investors: Builders are rushing to satisfy growing demand for rental units. Work on multi-family homes, such as apartment buildings, jumped 31 percent to an annual rate of 417,000, the most since January 2006. Aneta Markowska at Societe Generale said demand from homebuyers or renters does not matter because it’s roofs over peoples’ heads.
READ MORE... →Salient to Investors: Freddie Mac said the 30-yr fixed mortgage rate averaged 3.56 percent in the past week, the highest level since August 30, 2012, while the average 15-year rate held at 2.77 percent. Celia Chen at Moody’s Analytics said mortgage rates are still very, very low and will stay low
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