Mortgage update

Why are rates NOT back down in the mid 4% range?   Well, consumer confidence came in at the highest it’s been since Sept. 2008 and  the GDP numbers (how we measure our economic growth) came in at 3.2% which is VERY  good.  So fears of possible inflation as the economy continues to improve pushes rates up.  If the fears over Europe calm down, you’ll see rates jump back up into the mid 5% range.

One last comment, you might wonder WHY, with all the good economic news, unemployment doesn’t fall?  Remember, there is still excess capacity in the US and until manufacturing line 1 runs at full capacity, a plant won’t hire back the people to staff line #2.  But it’s only a matter of time.

This week rates ranged between 4.875% and  5.25%, depending on program, credit and points.

Ted Clay
Sr. Loan Consultant

Office: 405-341-8644
Cell: 405-826-1320

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