Mortgage rates for June 19, 2019 are starting off the day in stable territory as the bond market opens the day in slightly negative territory. Later today is the Fed decision on rates and their statement about current economic conditions.
With the world economy slowing much faster than the US Economy; what will the Fed do? Stay tuned!
FHA Mortgage Rates
Jumbo Mortgage Rates
Mortgage Backed Securities and Treasury Snapshot:
Mortgage Backed Security FNMA 3.5 started the day at 101.94 and the FNMA 4.0 coupon started the day at 103.16. The 10y Treasury yield started the day at the 2.08% level. Yesterday was a volatile day with the 10y Treasury moving as low as 2.01% and then moving as high as 2.07% after Trump tweeted he will be meeting with the Chinese President next week at the G20 Summit.
After the Fed decision later today we may see volatility return to the bond market.
Economic Data This Week:
Today we have the weekly Mortgage Market Index and the FOMC (the Fed) decision. On Thursday we have the Philly Fed Business Index and the weekly Unemployment numbers. On Friday we have Existing Home Sales for May.
Weekly Mortgage Market Index:
Despite mortgage rates moving to multi-year lows application volume leveled off in the most recent survey. The over all Mortgage Market Index came in at 511.8 and last week it was 529.8. The Purchase Index came in at 268.6 and last week it came in at 278.4. The Refinance Index came in at 1888.8 and last week the Refinance Index came in at 1956.5.
Seeing a drop off from last week is not surprising since mortgage application volume went to somewhat extreme levels. This most recent report shows homeowners and homebuyers are still very interested in moving forward with a new loan application.
The Fed decision is released at 12:00pm PST. I’ll update the post with the latest information and reaction later in the day.
We are not expecting the Fed to lower however it is likely (not certain) that they issue a statement that may open the door for future rate cuts if the economy continues to slow.
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.