Tag: mortgage rates

As Housing Sentiment and Actions Often Contradict, What Factors Matter Most?

May 17, 2019 by Zelman & Associates

Last week, Fannie Mae released the results of its monthly Home Purchase Sentiment Index, which is “designed to track consumers’ housing-related attitudes, intentions and perceptions.” As a research firm, we always find value in surveys, assuming ...

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Filed Under | macro housingmortgage rates

Is Fear of Homeowners Trapped by Low Mortgage Rate Justified?

November 30, 2018 by Zelman & Associates

According to Freddie Mac’s weekly survey, the effective rate for a 30-year fixed rate mortgage bottomed at approximately 3.30% in late-2012. From 2012-17, the rate was below 4.00% in 208 out of 313 weeks, or 66% of the time. With the latest ...

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Filed Under | macro housingmortgage rates

With the Fed in Focus, What Can We Learn from Historical Actions?

November 02, 2018 by Zelman & Associates

Thus far in 2018, the average 30-year fixed mortgage rate has increased approximately 50 basis points year over year, putting the year on pace to have the highest borrowing cost since 2010. According to Google Trends, an index tracking how ...

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Filed Under | macro housingmortgage rates

Is It Time to Start Worrying About Higher Interest Rates?

March 09, 2018 by Zelman & Associates

At the end of 2016, the 10-year Treasury yield stood at 2.45%, the highest year-end level since 3.04% in 2013. At that time, the expectation was that yields would continue a steady upward climb due to inflationary pressures from the incoming ...

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Filed Under | mortgage rates

“The” Mortgage Rate Only Covers 20% of Purchase Originations

January 13, 2017 by Zelman & Associates

The cost of mortgage credit is fairly transparent across lenders’ and third-party aggregators’ websites but there are two primary reference points for mortgage rates cited by industry analysts and the media that best summarize the market: weekly ...

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Filed Under | mortgage rates

Will the Recent Increase in Interest Rates Short Circuit the Housing Recovery?

December 02, 2016 by Zelman & Associates

Of the various interest rate measures cited in the media, the United States 10-year Treasury yield is the most important to monitor for the housing market as it serves as the benchmark for how 30-year fixed rate mortgages are priced. Unfortunately, ...

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Filed Under | macro housingmortgage rates

The Fed Watch: What Does Next Raise Mean for Mortgage Rates?

September 09, 2016 by Zelman & Associates

The Federal Open Market Committee (FOMC) is scheduled to announce its next policy rate decision on September 21st, putting the trajectory of interest rates back into the media headlines. Last December, the FOMC raised the target for the federal ...

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Filed Under | mortgage rates