Archives for August 2012

Home Prices Rise in the Latest Case-Shiller report

For the first time in a very long time home prices rose in the Case-Shiller report.  This is good news for homeowners in general however some markets are still experiencing declines.  Mortgage rates at all time lows appear to be helping home prices rebound.  Contact us today for a low rate purchase loan quote.

Per the press release:

New York, August 28, 2012 – Data through June 2012, released today by S&P Dow Jones Indices for its
S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, showed that all three headline
composites ended the second quarter of 2012 with positive annual growth rates for the first time since the
summer of 2010. The national composite was up 1.2% in the second quarter of 2012 versus the second quarter
of 2011, and was up 6.9% versus the first quarter of 2012. The 10- and 20-City Composites posted respective
annual returns of +0.1% and +0.5% in June 2012. Month-over-month, average home prices in the 10-City
Composite were up 2.2% and in the 20-City Composite were up 2.3% versus May. For the second consecutive
month, all 20 cities and both Composites recorded positive monthly gains. Eighteen of the 20 MSAs and both
Composites posted better annual returns in June as compared to May 2012 – only Charlotte and Dallas saw a
deceleration in their annual rates (press release)

Existing home sales up due to low mortgage rates

With the recent drop in mortgage rates we have seen an increase in purchase volume.  California refinance rates are typically the same as California purchase rates however some lenders (at times) do provide slightly better terms for purchase loans (not always though).  According to the National Association of Realtors (in a report just released):  “Existing home sales increased nationally in the month of July to a seasonally adjusted annual rate of 4.47 million homes. This is an increase of over 2% from the 4.37 million rate set in June and over 10%  higher t the same period last year. The national median price of existing homes also rose on an annual basis for the fifth consecutive month according to data released today by the National Association of Realtors.”

Mortgage Interest Rate Update 08.22.2012

Mortgage rates bumped up roughly 0.25% the last few weeks but appear to be reversing course.  Taking a cue from stocks, the bond market has put in a top on the raising yields however it could be temporary.  Today we are seeing bond yields drop in a fairly substantial rally.  California refinance rates, and purchase loan rates, are  still above the lows seen several weeks back but we are optimistic we will start to see some improvement in rates over the next 5-10 days.  Mortgage applications have decreased nationwide and lenders are starting to see a drop in volume.  Those looking to do refinance their home can still obtain rates that are generally equal to or lower than what the market was providing last year.