Weekly Mortgage Update

The POSSIBILITY of future inflation moves mortgage rates. There are other factors…but this is the tide that lifts or lowers regardless of the local weather. When investors look at the global economy they try to figure out how the influencing factors (European sovereign debt, growth in China and India, US corporate earnings, consumer price index, etc.) will affect our economy and if the result will be inflationary. In a nutshell, a strong economy tends to push inflation up, a weak economy tends to pull inflation down.

This week we had a mixed bag of reports – AGAIN – and so rates followed suit. Corporate earnings in the US were positive but retail sales came in weak. Food and energy prices jumped but the prices for all the other stuff (the core index) only went up slightly. China’s economy is doing well but Europe is still concerned with countries defaulting on their debt. So while there are signs our economy is improving, we’re not there yet. As a result….

$6,200,000 in The State Bond Program still available with a rate of 4.75% and 3.5% down payment assistance.

This week 30 yr. fixed rates remained in the between 4.625% & 4.875% depending on program, credit and points.

Ted Clay
Sr. Loan Officer
NMLSR # 217991
OK License # MLO01963

Office: 405-341-8644
Cell: 405-826-1320
e-Fax: 1-866-208-5309

tclay@wrstarkey.com

www.TedClay.com