Mortgage rates for June 21, 2019 are stable heading into the weekend after bonds stage a significant rally this week. Conforming, FHA and Jumbo mortgage rates are near multi-year lows as fears the economy is slipping into a recession grow.
FHA Mortgage Rates
Jumbo Mortgage Rates
Mortgage Backed Securities and Treasury Snapshot:
Mortgage Backed Security FNMA 3.5 started the day at 102.28 and the FNMA 4.0 coupon started the day at 103.34. The 10y Treasury yield started the day at the 2.02% level.
Yesterday the 10y yield moved as low as 1.97%; a level we’ve not seen in years. Late in the day it moved higher to nearly 2.04% as bond investors looked to take profits. Keep in mind that just a few months ago the yield was above 2.50% so it’s not surprising to see some profit taking.
Economic Data This Week:
Today we have Existing Home Sales for May. The report comes out later this morning and if there is any impact on the market I’ll update the post. Expectations are for a 1.2% increase in home sales. Last month’s reading showed a decline of -0.4%. Many analysts believe the recent move down in mortgage rates should help boost home sales.
Economic Data Next Week:
There is no Economic Data on Monday. On Tuesday we have the Case-Shiller report, New Home Sales and Consumer Confidence. On Wednesday we have the weekly Mortgage Market Index and the Durable Goods report for May. On Thursday we have the final Q1 GDP reading and to finish off the week on Friday we have Personal Income report, Core PCE, Consumer Inflation Expectations, Consumer Sentiment, and the Chicago PMI report.
Core PCE and Chicago PMI:
Two reports to keep an eye on is the Core PCE report and the Chicago PMI report. In the past, these reports have had an impact on the Mortgage Backed Securities market and residential mortgage rate. If these reports come in stronger than expected I would anticipate that MBS would sell off and mortgage rates would push higher. If they come in below expectations we’ll probably see the same level or possibly see an improvement to the overall market.
The Durable Goods report gets a lot of attention but it fluctuates too much to have a huge impact on bond markets and mortgage rates.
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 in 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.