{"id":7557,"date":"2009-03-21T15:54:51","date_gmt":"2009-03-21T22:54:51","guid":{"rendered":"http:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/?p=7557"},"modified":"2009-03-21T15:54:51","modified_gmt":"2009-03-21T22:54:51","slug":"a-few-thoughts-about-mortgages","status":"publish","type":"post","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/7557\/a-few-thoughts-about-mortgages\/","title":{"rendered":"A Few Thoughts About Mortgages….."},"content":{"rendered":"

Since I already sent an update out earlier in the week outlining what the Fed did and how it can\/will impact the economy and the mortgage markets, I\u2019m going to focus on a couple of other topics this time.<\/p>\n

First I\u2019m going to talk about the four most important things to know about mortgage rates. Then, in the lower section, we\u2019ll take a look at a good strategy to consider when thinking about when to lock in an interest rate.<\/p>\n

The four most important things to know about mortgage rates:
\nWhat influences them <\/strong>– contrary to popular opinion, mortgage rates are not tied to the 10 year Treasuries any more. For years they used to be and that made predicting short term market movements easy. Now they don\u2019t and it\u2019s much harder. So what does impact them? A couple of quick thoughts about that: 1) Market sentiment – is the market feeling good about things or bad? 2) Political manipulation – does the market feel that Washington is trying to run over Wall Street or is it the other way around? 3) Expectations vs. reality – it\u2019s not so much that the news is bad as it is a question of whether it\u2019s worse or better than it was expected. 4.) Inflation\/Deflation and the value of the dollar. 5) Investor appetite for mortgage backed securities (aka how good are loans performing?<\/p>\n


\nWhy mortgage rates won\u2019t go down to 4%. <\/strong> According to what I heard and saw, there were experts on places like the Today Show and Good Morning America who were proclaiming that mortgage rates were going to go down to 4.0%, probably by Monday. There are a couple of reasons why that won\u2019t happen: 1) The Law of Supply and Demand – the government is literally flooding the market with additional debt. If there is more debt \u201cchasing\u201dfewer investors, that\u2019s going to push rates upward. 2) The Value of the Dollar – the dollar has taken a beating in the last few days and as the dollar gets cheaper compared to other currencies, interest rates have to go up. 3) Falling House Prices Read more<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Since I already sent an update out earlier in the week outlining what the Fed did and how it can\/will impact the economy and the mortgage markets, I\u2019m going to focus on a couple of other topics this time. First I\u2019m going to talk about the four most important things to know about mortgage rates. […]<\/p>\n","protected":false},"author":44,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_crdt_document":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[29,26],"tags":[178],"class_list":{"0":"post-7557","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"hentry","6":"category-group-therapy","7":"category-lending","8":"tag-mortgage-rates","10":"no-featured-image"},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":9918,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/9918\/the-jobs-report-whats-it-going-to-mean-for-mortgage-rates\/","url_meta":{"origin":7557,"position":0},"title":"The Jobs Report – what’s it going to mean for mortgage rates?","author":"Tom Vanderwell","date":"October 1, 2009","format":false,"excerpt":"Okay, it\u2019s hard to believe but tomorrow morning is the first Friday of the month again.\u00a0\u00a0\u00a0 Where has the year gone?\u00a0\u00a0 In some ways it has flown by and in other ways it seems like it\u2019s been about two or three years.\u00a0\u00a0 Know what I mean? Any way, tomorrow morning\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5161,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/5161\/mortgage-market-week-in-review-13\/","url_meta":{"origin":7557,"position":1},"title":"Mortgage Market Week in Review","author":"Tom Vanderwell","date":"October 24, 2008","format":false,"excerpt":"Here we are on Friday again.\u00a0 That means that it\u2019s time to try to summarize what\u2019s going on in the mortgage and finance world.\u00a0\u00a0 I\u2019m going to talk about a couple of main things:\u00a0 the economic fundamentals, some earnings reports\u00a0and the \u201cmargin calls\u201d that are going on in the equity\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":5071,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/5071\/mortgage-market-week-in-review-12\/","url_meta":{"origin":7557,"position":2},"title":"Mortgage Market Week in Review","author":"Tom Vanderwell","date":"October 17, 2008","format":false,"excerpt":"Well, here we are and it\u2019s time for another Mortgage Market Week in Review.\u00a0\u00a0 This week, we\u2019re going to talk about consumer spending, consumer confidence, the new normal, where\u2019s the bottom?\u00a0and why interest rates have had a 1 percent up and half percent down swing since last week Wednesday. Consumer\u2026","rel":"","context":"In "Real Estate"","block_context":{"text":"Real Estate","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/real-estate\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2796,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/2796\/will-the-fed-buy-mortgage-backed-securities-in-the-open-market\/","url_meta":{"origin":7557,"position":3},"title":"Will the Fed Buy Mortgage Backed Securities In the Open Market?","author":"Brian Brady","date":"March 18, 2008","format":false,"excerpt":"I never post my Mortgage Rates Reports here.\u00a0 They're boring unless you are thinking about buying a home or refinancing your mortgage.\u00a0 Today, it seems plausible that the Fed is shifting its open market activities from buying treasuries, to buying mortgage-backed securities, in order to bolster liquidity in the mortgage\u2026","rel":"","context":"In "Lending"","block_context":{"text":"Lending","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/lending\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":10553,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/10553\/the-rates-arent-the-only-thing-that-matters-my-thoughts-on-how-to-create-healing-in-the-housing-market\/","url_meta":{"origin":7557,"position":4},"title":"The Rates Aren’t The Only Thing That Matters….. (My thoughts on how to create healing in the housing market)","author":"Tom Vanderwell","date":"December 14, 2009","format":false,"excerpt":"A couple of thoughts about this article from the New York Times: It\u2019s true.\u00a0\u00a0 Anecdotally, I\u2019d have to say that depending on the day, anywhere from 30-50% of the people who I discuss refinancing with are either not able to do it because their income has fallen or because property\u2026","rel":"","context":"In "Dirty Laundry"","block_context":{"text":"Dirty Laundry","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/dirty-laundry\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/media.cnbc.com\/i\/CNBC\/Sections\/News_And_Analysis\/__Story_Inserts\/graphics\/__REAL_ESTATE\/home_equity.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":9628,"url":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/9628\/the-jobs-report-what-does-it-mean-for-mortgage-rates\/","url_meta":{"origin":7557,"position":5},"title":"The Jobs Report – What does it mean for mortgage rates?","author":"Tom Vanderwell","date":"September 3, 2009","format":false,"excerpt":"Given all of the discussion here lately about using video, I thought I'd post something a bit more \"ordinary\" than Mr. Potato Head but hopefully useful as well.\u00a0\u00a0\u00a0\u00a0 The video below is some of my thoughts on what the jobs report that comes out tomorrow might mean for the mortgage\u2026","rel":"","context":"In "Group Therapy"","block_context":{"text":"Group Therapy","link":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/category\/group-therapy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/7557","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/comments?post=7557"}],"version-history":[{"count":2,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/7557\/revisions"}],"predecessor-version":[{"id":7559,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/posts\/7557\/revisions\/7559"}],"wp:attachment":[{"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/media?parent=7557"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/categories?post=7557"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bloodhoundrealty.com\/BloodhoundBlog\/wp-json\/wp\/v2\/tags?post=7557"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}