The Federal Reserve released its October Federal Open Market Committee (FOMC) meeting minutes last week, revealing a Fed in disagreement about the future of the U.S. economy and about what, if any, stimulus may be warranted in the next 12 months. The "Fed Minutes" recaps the conversations and debates that transpire during an FOMC meeting, and is published 3 weeks after the meeting adjourns. According to the October minutes, FOMC members "generally agreed" that a housing recovery is under way nationwide, citing increased housing prices, higher sales volume, and rising construction in many … [Read more...]
What’s Ahead For Mortgage Rates This Week : October 22, 2012
Mortgage markets worsened last week as hope for a European economic rebound and stronger-than-expected U.S. economic data moved investors out of mortgage-backed bonds. Mortgage rates all of types -- conventional, FHA and VA -- lost ground last week, harming home affordability in Phoenix and reducing purchasing power nationwide. Rising rates also thwarted would-be refinancing households hoping to time a market bottom. The increase runs counter to Freddie Mac's weekly Primary Mortgage Market Survey which showed the average 30-year fixed rate mortgage rate dropping 2 basis points to 3.37% … [Read more...]
Single-Family Housing Starts Rise To 4-Year High
The housing market continues to improve. According to the U.S. Census Bureau, on a seasonally-adjusted, annualized basis, Single-Family Housing Starts rose to 603,000 last month, an 11 percent increase from the month prior and the highest reading in more than 4 years. A "housing start" is a home on which construction has started and home builders are breaking ground at rates not seen even during the 2010 federal home buyer tax credit period. It's a signal to home buyers throughout Arizona that the U.S. housing market may be permanently off its bottom. At least, the nation's home builders … [Read more...]
Buyers Win 6.6 Percent Increase In Purchasing Power
Mortgage rates in Arizona continue to troll near all-time lows, boosting the purchasing power of home buyers statewide. According to Freddie Mac's most recent Primary Mortgage Market survey, the average 30-year fixed rate mortgage is now 3.39 percent nationwide, just three ticks off an all-time low. At the start of last quarter, 30-year fixed rate mortgage rates averaged 3.62 percent. One year ago, they averaged 4.12%. When mortgage rates are falling, they present Phoenix home buyers with interesting options. Because of lower rates, buyers can choose to tighten their household budgets, buying … [Read more...]
