Marketwatch

Mortgage Market Trends, Rates, and Updates Delivered to Your Inbox Weekly. The Easiest Way to Stay Informed.

Join Today!

CLICK HERE TO SIGN UP

 

Rates generally stable as markets await Fed rate increase; Impact of tax reform on real estate

 

 

 

Market Update

A strong stock market and expectations of a Fed rate increase next week have kept the 10 year Treasury yield in the 2.3-2.4% range. Tomorrow’s jobs report has the potential to move the markets but with the virtual certainty of a rate hike a major change in rates is not expected.
Per Corelogic, home prices continued to rise in October, up 7% from October 2016. Median home prices nationwide are 8% below the recession low, but still lag in the Northeast.

 

Mortgage Market

A tax reform package could be completed as soon as December 22nd. It’s anybody’s guess what the impact tax reform will have on real estate. All appearances suggest that in the short run reduced tax revenue will balloon the budget deficit, putting upward pressure on inflation and interest rates. If the promised economic growth happens then any increase in rates should be offset by higher personal income. With wage growth stagnant in recent years, continued growth in real estate prices is dependent on personal incomes increasing to allow consumers to make the higher mortgage payments caused by higher rates and home prices.

 

MARKET RATES

 

 

Conforming
APR

 

High Balance
Conforming
APR

 

Jumbo
APR

 

30-year fixed

3.99/4.095

4.00/4.071

4.025/4.087

15-year fixed

3.375/3.472

3.75/3.886

3.85/3.957

5/1 ARM

4.00/3.887

3.75/3.814

3.575/3.771

FHA 30-year
fixed

3.75/4.252

3.875/4.350

n/a



 

 

 

 

©2017 Finance of America Mortgage LLC | Equal Housing Lender  | NMLS 1071  |   Mortgage Banker License #0910184 | Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act . All information contained herein is for informational purposes only and, while every effort has been made to insure accuracy, no guarantee is expressed or implied. Any programs shown do not demonstrate all options or pricing structures. Rates are subject to change without notice and are subject to underwriting approval. Some products may not be available in all states and restrictions apply. Check with your Mortgage Advisor for specific down-payment requirements. Rates effective as of 12/07/2017

 

Holmgren and Associates

DBA of Finance of America
1900 Mountain Boulevard
Oakland, California 94611
Phone: 510-339-2121
NMLS 0910184/1071
 

Holmgren & Associates is a branch of Finance of America. We are a full service mortgage banker with an experienced staff offering expertise in residential mortgage lending, with primary focus on loans for home purchase, refinance, and reverse mortgages.

Find Us On: