Mortgage rates for June 17, 2019 will start off the week at similar levels as we move further into June. The mortgage industry is experiencing a huge influx of applications from those looking to refinance their current mortgage. This may negatively impact mortgage rates as lenders try to accommodate the huge number of new applications.
FHA Mortgage Rates
Jumbo Mortgage Rates
Mortgage Backed Securities and Treasury Snapshot:
Mortgage Backed Security FNMA 3.5 started the day at 101.86 and the FNMA 4.0 coupon started the day at 103.11. The 10y Treasury yield opened the day at 2.10%.
Economic Data This Week:
Today we have the NY Fed Manufacturing report and the NAHB Housing Market Index. On Tuesday we have the Housing Starts, and Building Permits reports along with the start of the June FOMC (Fed) meeting. On Wednesday we have the weekly Mortgage Market Index and the FOMC decision. On Thursday we have the Philly Fed Business Index and the weekly Unemployment numbers. On Friday we have Existing Home Sales for May.
Many investors and analysts will be looking at the Fed meeting before making significant investment decisions. The Fed does not set consumer mortgage rates but does have an influence over them. Residential mortgage rates originate in the Mortgage Backed Securities market.
NY Fed Manufacturing Report:
Expectations were for a reading of 10.00 however the reading came in way below expectations; -8.6. Last month the report came in at 17.80. While this is potentially is bad news for the economy and good news for mortgage rates its not a market mover like the CPI or Employment report since the report focuses on one area of the country. We’ll have to keep an eye on the other Fed regions to get a better idea if this contraction is spreading through the entire economy.
NAHB Housing Market Index:
Expectations were for a reading of 67 and this morning it came in at 64 (last months reading was 66). It does not appear that the decrease in mortgage rates is helping homebuilders. With mortgage rates moving to multi-year lows ideally you would like to see expansion rather than contraction with the NAHB Housing Market Index.
JB Mortgage Capital, Inc.:
We offer industry low mortgage rates for both refinance and purchase transactions, personal one-on-one service and we have an A+ rating with the Better Business Bureau (BBB). We also have a top rating with the Business Consumers Alliance (AAA). We utilize the latest technology to ensure a fast closing and Loan Officer Kevin O’Connor has over 14 years of experience as a mortgage professional.
When it comes to mortgage rates please keep in mind that mortgage rates adjust daily; sometimes they adjust multiple times in a day when the bond market is volatile.
Also, things like obtaining cash out, lower credit scores, higher Loan-To-Value ratios, rental properties and the subordination of a second mortgage will cause an increase in your mortgage rate.
To obtain the most up-to-date quote, specific to your loan scenario be sure to contact Loan Officer Kevin O’Connor at 1-800-550-5538 or you can submit a “Contact Us” request on our website.