Add this to the list of reasons why demand is so hot..... For the first time since 1980, the cost of living is rising faster than the average mortgage rate. The Consumer Price Index for April tells us U.S. inflation is growing at a 4.2% annual pace, the largest jump...
Mortgage rates have settled down nicely, and are back in the high-2s for those home buyers who don't mind paying a half-point or so (those quoted above are with zero points paid). Not sure that it matters. Not sure that anything matters any more. I had a great...
Matthew makes the case here that the current uptick in mortgage rates may not affect home prices: There was a big rate spike at the end of 2016 that had no discernible effect on prices. This is notable because that rate spike was fueled by economic optimism as...
Thanks to just some guy' for sending in this article comparing prices, rates, and inflation: https://awealthofcommonsense.com/2021/03/what-if-housing-prices-arent-as-high-as-they-appear/ It's a feel-good idea that inflation and lower rates can ease the pain of...
One of these days, rates are going to matter. Today is probably not that day. But when we get close to 4%, then buyers are going to put on the brakes and expect sellers to do a little something for them, price-wise.
My theory this week to explain what's happening today? The ultra-low mortgage rates are the problem. Specifically, the decline in mortgage rates over the last two years have caused more of the existing homeowners to refinance, rather than move. In the graph above,...
This is turning into the February mortgage-rate massacre, and there's no real end in sight. But home sellers aren't going to believe for weeks or months that they might have to back off their price, so don't expect any changes. To say that bond market volatility has...
Rising rates only has moderate cooling effect on housing, says Black Knight's Andy Walden from CNBC.
If you are thinking of selling your house this summer, expedite your plans! Volatility has returned to the mortgage market in grand fashion this week with many lenders quoting rates that are as much as a quarter of a point higher than they were last week. That means...
A good article by Matthew on the current rate environment: Bonds find themselves in an interesting position heading into February. On the one hand, there's a well-established tepid recovery narrative that coincides with gradually rising 10yr yields for the past 6...
