As you know by now the Fed cut 2 key rates each by .25% today, and warned markets against banking on further near-term cuts. They said that while housing weakness may be a continued drag on the economy, consumer inflation, especially in food and gas, is still a threat. The initial market reaction is that
October 2007
This week opens strong with Jumbo and Conforming fixed and ARM loans all down .25%. Since Fed Chairman Ben Bernanke’s October 15 comments that the housing market may be a significant drag on economic growth, rate markets have been pricing in a .25% Fed Funds cut ahead this Wednesday’s FOMC meeting. At that time, I
Today, the San Francisco Chronicle reported on Jumbo mortgage improvement. Basis Point writer Julian Hebron was quoted in the story.
Conforming rates are even this week. Jumbo 30yr fixed rates are even and Jumbo ARMs are up by about .125%. In a speech tonight at the New York Economic Club, Fed Chairman Ben Bernanke said that cutting the bank-to-bank Fed Funds Rate by .5% and the Fed-to-bank Discount rate by 1% since August has helped
Last quarter, we showed how dropping home prices create opportunities for buyers even if rates are higher. Now, we’ll continue that discussion in the context of the global credit crunch which has had a big influence on home prices and rates. Overview of The Credit Crunch The ‘Credit Crunch’ that hit mortgage markets in early
Rates for conforming fixed, conforming ARMs and jumbo fixed are about .125% lower since the Fed cut both the bank-to-bank Fed Funds Rate and the Fed-to-bank Discount rate by .5% on September 18. With the next Fed meeting at the end of this month, it’s important for everyone to remember: Fed rate moves are not