Market Update
Friday March 4th, 2011 5:30 PM ET
By John Sauro
Inflation, Inflation, Inflation
Inflation is the arch enemy of bonds and bond prices dictate mortgage rates. So while Federal Reserve Chairman Bernanke stated this week inflation has been declining, others like PIMCO’s Bill Gross is not convinced. Bill Gross also expects the 10 Yr will hit 4.00% very soon. Recent economic reports also suggest that inflation is beginning to raise it’s ugly head.
It’s Your Move
With the spring home buyers market just around the corner, many are now considering getting off the fence before rates move higher.
With real estate price stabilizing, many don’t want to miss the bottom. How do you know when prices have bottomed out? After they go back up. Therefore, it would be prudent for those considering buying, to do their home work and start looking.
I recommend speaking with a mortgage professional about available financing options before you start your search.
Refinancing – Rates Still Attractive
Even with recent increase’s in interest rates. It still may make sense for some to consider refinancing. Moving from an adjustable to a fixed rate, or consolidating equity loans or credit card debt may result in substantial savings.
Call us for a free consultation and available options.
Update on FINREG (Financial Regulation)
Protect your homes value and your right to affordable home financing.
I will be meeting with many of our elected officials on Capitol Hill while I attend the NAMB Legislative Conference in Washington D.C. later this month to discuss the concerns with the Fed Rule 226, Dodd-Frank Financial Regulation and Fannie Mae and Freddie Mac.
Go to www.RepealFinreg.com and see why these regulations will further cripple the lending and housing markets.
Several Trade Organizations are preparing to initiate a law suit against the Federal Reserve to seek an injunction to delay FR 226.
My Bias remains locking into mortgage rates at this time.??