November's employment report was a letdown, and it brought mild disappointment to the financial markets, causing mortgage rates to recede. The lack of any job growth stalls the economic recovery and, in the long run, dampens the potential growth of the housing industry. |
Obviously, refinancing is going to take the biggest hit as mortgage rates tick up, ... Refinancing comprised about 40% or more of the total volume of mortgage originations over the last 13 months. This share, however, will lessen as mortgage rates continue to rise. |
October's fervent job growth statistics, mixed with upward revisions in previous months, led financial markets to believe the economy is picking up steam, |
Of late, there has been no compelling economic reason to believe mortgage rates would climb out of their recent range. |
On net, the latest economic news had little effect on mortgage rates this week. Our forecast calls for rates on 30-year fixed-rate mortgages to increase about one-quarter of a percentage point by the end of the year. |
One reason why homeowners may be willing to increase the mortgage rate on their first-lien mortgage is because interest rates on most home-equity lines of credit have been pushed up again as the Fed increased short-term interest rates in January and March, which in turn pushed up the prime rate. |
Our current economic forecast sees 30-year mortgage rates staying in their current and attractive range of six to seven percent for the rest of the year. |
Our forecast is for the 30-year fixed-rate mortgage rate to remain below 6 percent for the rest of the year and not much higher than that for 2005. |
Our housing outlook remains positive, and forecasts only a gradual rise in mortgage rates in the next few months, indicating another strong year for the housing sector. |
Our January forecast calls for a gradual rise in long-term rates throughout 2006, ending the year at about 6.5 percent for the 30-year fixed-rate mortgage, while relative rate differences with adjustable-rate mortgages will narrow. |
Our January forecast calls for a gradual rise in long-term rates throughout 2006. This should induce some slowing in housing market activity. |
Our latest forecast expects a brisk housing industry through year-end. Single-family building is likely to remain strong this quarter, as evidenced by the pace of recent new-home sales, |
Our outlook for the housing industry continues to be that mortgage rates will remain affordable for the rest of the year at least, keeping the industry alive and well into the foreseeable future. |
Our outlook is that long-term rates are destined to rise to a still homebuyer friendly range that will most likely cause home sales to cool relative to their current record highs, |
Our outlook is that long-term rates are destined to rise to a still homebuyer friendly range that will most likely cause home sales to cool relative to their current record highs. |