Lowest Rates in 50 Years
2.205% APR 15 Year Fixed
2.938% APR 30 Year Fixed
Home Purchases are showing quite a bit of strength with inventory levels down 12% from last year. Refinances were up 7% last week and are now down 5% on a year over year basis, also being compared to some high figures from last year. The refinance share of applications increased slightly to 66% of total volume. Interest rates were nearly the same as they were this time last year.
The Case-Shiller Home Price Index, which is considered the “gold standard” for appreciation, showed home prices rose 2.2% in June and 18.6% year over year, which is a record and up almost 2% from the annual price gains seen in the previous report and is a record high
Bottom line – We are still seeing strong levels of demand purchases, which has accelerated over the last two weeks.
The Fed will of course leave rates unchanged, but the focus will be on tapering clues. We believe the Fed will leave most of their statement unchanged and will want to wait until the November 3 Meeting before announcing tapering. They will likely want to wait to see how back to school goes as well as the impact of the delta variant. Additionally, the August Jobs Report was weak and inflation moved modestly lower. As we have mentioned, we think that inflation will start to rise again as the previous reading was removing some high figures from last year, skewing the year over year figures. In the coming months the inflation reports will be replacing lower figures.
*The Annual Percentage Rate is based on a single family owner occupied purchase or rate & term home loan with a maximum loan amount of $548,250, a 2.00 % interest rate, $506.00 in points, a 30 day rate lock, Fixed Rate for 15 Years with 180 monthly payments of $3,529.00, a 80% Loan to Value, and a minimum credit score of 700.**The Annual Percentage Rate is based on a single family owner occupied purchase or rate & term refinance home loan with a maximum loan, amount of 548,250 a 2.875% interest rate, $2,151 in points, 30day rate lock, Fixed Rate for 30 Years with 360 monthly payments of $2,275 a 80% Loan to Value, and a minimum credit score of 700 . **** The rates and annual percentage rate (APR) will vary depending upon the actual down payment percentages, points and fees for your transaction. The rates quoted are for home purchase or Rate & Term Refinance loans. Refinance cash out loans may have a higher rate. The rates may change or not be available at commitment or closing or may be subject to product restrictions. Offer subject to credit approval. Rates advertised are as of Sept 13, 2021. Rates are subject to change without notice. 178 Trinity Pass, Pound Ridge NY 10576. CT Mortgage Broker CT Department of Finance. MORTGAGE BROKER ONLY, NOT A MORTGAGE LENDER OR MORTGAGE CORRESPONDENT LENDER NMLS #1375 & 42481. Registered Mortgage Broker NYS Department of Finance, This Website is Not Authorized by the NYDFS. NY Clients please call 877-794 5363 as no NY applications can be taken from this site. Registered Mortgage Broker Florida Office of Financial Regulation. Loans arranged through third party providers. Verify our licensing information at www.nmlsconsumeraccess.org