The Market Preview

July 3rd, 2018

Steve Hollander – Hollander Real Estate
Jackie Doran – Capital Partners Mortgage, LLC

Rates Remain Subdued on the Usual Fears
Wars always escalate. Trade wars included. One side advances with force. The other side retaliates in kind, and then some.

Escalating trade-war retaliations have extracted a toll on investor confidence. Many investors continue to seek shelter in haven investments. U.S. Treasury securities are the haven of choice for many. Yields across the continuum have drifted lower through June. Yields on the long-end of the continuum have drifted lower than most.

Long-term U.S. Treasury yields hold sway over mortgage rates. The 10-year U.S. Treasury note holds more sway than most. The yield on the 10-year note is at a low for June. Rate quotes on the prime 30-year, fixed-rate conventional mortgage also hold near a month-long low.

Treasury yields dipped further over the past week when President Trump escalated the trade war to include the capital markets. Trump said that he’d like to apply tougher restrictions on Chinese investment in U.S. technology companies. Chinese firms could take no more than 25% ownership in a U.S. technology company.

Fortunately, escalations aren’t infinite. Someone must have pulled the president aside and suggested that he think twice on annexing the capital markets. Trump subsequently backed away from his investment-restriction plans.

The president has experienced significant push-back from his political foes, which is to be expected. He’s also received considerable push-back from his political allies. The Wall Street Journal leans more right than left (at least in its commentary). The Journal has run a series of articles highlighting the costs that the trade war has imparted on U.S. citizens.

One article titled “Tariffs Start to Ripple Their Way Through the U.S. Economy” is telling. The article focuses on tariffs imposed on imported steel. The numbers favor potential costs over potential benefits by a wide margin.

Says the Journal, “As of mid-2017, there were 29,288 steel-consuming firms, employing more than 900,000 workers who face higher prices versus just 916 steel-producing firms with 80,000 employees who benefit from those higher prices and reduced competition.” Eleven jobs are put at risk in steel-consuming firms to protect one job in steel-producing firms.

Fortunately for the innocent bystanders (us), wars eventually end. We suspect that this trade war will end sooner than later. Negative press outruns positive press on the trade war by a wide margin. Politicians detest endless streams of negative press.

We say all that to say this: The trade war has dominated the financial headlines for the past month. The negatives associated with the trade war have held mortgage rates in check.

Perhaps the end is near. With negative press running high, foes and allies alike could be more willing to compromise. More compromise lowers the fear factor. A lower fear factor leads to rising interest rates. This includes rising mortgage rates.

Of course, this is all conjecture on our part, but at least it’s conjecture grounded in a reasonable possibility.

A Nail Manufacturer Gets Nailed
Lumber prices are at a record high. They’re at a record high because of a 20.8% tariff applied to imported Canadian Lumber. The NAHB tells us that record-high lumber prices have added nearly $9,000 to the price of a new single-family home.

This week, we learn that the nails used to frame the lumber could also see record-high prices in the near future.

Mid-Continent Nail, the largest nail producer in the United States, is suffering because of 25% tariffs applied to imported steel. Mid-Continent imports steel from Mexico to turn into nails. The company reports that sales plummeted by 50% in just two weeks after it raised prices to cope with the added costs of the tariffs. The company reports that things are so bad that it could shut its doors by Labor Day.

Given the laws of economics, lower nail supply will lead to higher nail prices should demand hold firm. It’s difficult to project how firm demand will hold. If demand holds, home builders will have to endure yet another significant cost increase.

Home builders will try to pass as much of the added costs onto consumers as they can. That would be unwelcome news for housing markets already saddled with relentlessly rising home prices and short supply. What housing needs more than anything today is lower input costs, not higher.

Jackie Doran
Capital Partners Mortgage, LLC
Loan Officer
NMLS # 364090
Jackie.Doran@CapitalPartnersMtg.com
(561) 716-0448
www.mortgagesbyjackie.com
© 2017 Capital Partners Mortgage, LLC. All Rights Reserved. This communication does not constitute a commitment to lend or the guarantee of a specified interest rate. All loan programs and availability of cash proceeds are subject to credit, underwriting and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply. Jackie Doran NMLS # 364090, . 11290 Legacy Ave, North Palm Beach, FL 33410. Capital Partners Mortgage, LLC  1515 N. University Drive, Suite 102D, Coral Springs, FL 33071. Corp NMLS# 1084639 (www.nmlsconsumeraccess.com). Equal Housing Lender. 

4th of July Events

July 2nd, 2018

Steve Hollander – Hollander Real Estate

4th of July Events

Mega Bash – July 3rd & 4th
Join us for our MEGA event of the summer, MEGA BASH! Tuesday and Wednesday, July 3rd and 4th come to the ballpark for a night of fun! There will be Fireworks, a MEGA Kid’s Area and great minor league baseball action. There is no better way to spend the Independence Day holiday! This two–day event rocks the house! Roger Dean Stadium.
4751 Main Street – Jupiter, FL 33458   Mega Bash

Lake Worth Independence Day Celebration
Lake Worth’s celebration, in Bryant Park, will feature live music starting at 3 p.m. Food, arts and crafts and a kids area with bounce houses. The raft parade starts at 11:30 a.m. and the annual raft race in the Intracoastal starts at 1 p.m. Fireworks display is at 9 p.m. Free.
100 S. Golfview Road – Lake Worth, FL 33460    Independence Day Celebration

4th of July Science Celebration
The South Florida Science Center is throwing a family-friendly daytime event which will feature live science demonstrations, patriotic hands-on activities, live aquarium interactions and more. The special activities are included in the regular admission price. Check in on Facebook when you arrive to receive a $2 discount. The event is from 11 a.m. to 4 p.m.
4801 Dreher Trail N – West Palm Beach, FL 33405    Science Celebration

Abacoa’s 4th of July Block Party
Come celebrate July 4th at Downtown Abacoa. Downtown Abacoa is hosting a block party on Town Center Drive. Food/drink specials, shopping specials, beer pong, cornhole tournaments, kids activities and a live Aerosmith Tribute Band! Enjoy the fireworks!
1200 Town Center Drive – Jupiter, FL 33458     Abacoa Block Party

4th on Flagler
This year, Fourth on Flagler turns 30 years old and to celebrate the downtown West Palm extravaganza will have special features such as a performance from The Air National Guard Band of the South, a 45-member military music ensemble.

The event will also have three stages of entertainment, a military honor ceremony, larger-than-life versions of games like Human Foosball, life-sized Jenga and Pong. New this year, will be an air-conditioned arcade. It all takes place from 5 to 10 p.m. at the east end of Clematis on the West Palm Beach Waterfront. Free.
100 N Clematis Street – West Palm Beach, FL 33401  4th on Flagler

Palm Beach County Local Market Update for May 2018

June 29th, 2018

Steve Hollander – Hollander Real Estate

Things To Do This Weekend

June 28th, 2018

Steve Hollander – Hollander Real Estate

Clematis By Night – Thursdays
Clematis by Night is the place to be for great live music, a taste of mouth-watering foods and fun people all in the hip ambiance of an energized downtown waterfront. Centennial Square at the end of Clematis Street in Downtown West Palm Beach.
100 N Clematis St. – West Palm Beach, FL 33401  Clematis By Night

Summer Concert Series: Boss Project – Friday
Ring in the weekend Friday nights at Concerts in the Court. A different band each week from pop to rock, country to jazz–loud, live and FREE. Come join us in Centre Court at Downtown at the Gardens! 7:00 PM to 10:00 PM
11701 Lake Victoria Gardens, Palm Beach Gardens, FL 33410  Downtown at The Gardens

BBQ, Brews & Blues Festival – Saturday
Don’t miss the area’s best BBQ, brews and blues music with family-friendly activities and tons of fun. We are excited to kick-off the West Palm Beach Independence Day activities with this FREE event that includes FREE samples of delicious southern soul food and FREE samples of craft beers by local vendors.
401 N Rosemary Ave – West Palm Beach, FL 33401   BBQ, Brews & Blues

Stonewall Black & White Ball – Saturday
This is Compass’ thirty year anniversary! Held at the Harriet Himmel at City Place each year in the heart of the City of West Palm Beach, and in conjunction with Stonewall celebrations across the country and world the last weekend in June, the Stonewall Black and White Ball not only recognizes our collective history, but it sheds light on opportunities for our community’s future through fully inclusive social justice leadership.
700 S. Rosemary Ave. – West Palm Beach, FL 33401  Stonewall Ball

The Gardens GreenMarket – Sundays
At the Market, you can shop an abundance of just-picked, orchard-grown goods, a wide selection of seasonal vegetables and fruits, fragrant herbs, honey, homemade old-fashioned breads, pies, cheeses, sauces, handmade crafts and much, much more. This event is rain or shine.
11010 N. Military Trail – Palm Beach Gardens, FL 33410   The Gardens GreenMarket

Hike & Graft: Native Americans of the Everglades – Sunday
Discover the food, tools, and shelters used by our area’s original Native American tribes on a guided hike along our Cypress Boardwalk Trail. Then create your very own Native American artifact to take home!
8264 Northlake Blvd – West Palm Beach, FL 33412  Native Americans of the Everglades

4th of July Events

Mega Bash – July 3rd & 4th
Join us for our MEGA event of the summer, MEGA BASH! Tuesday and Wednesday, July 3rd and 4th come to the ballpark for a night of fun! There will be Fireworks, a MEGA Kid’s Area and great minor league baseball action. There is no better way to spend the Independence Day holiday! This two–day event rocks the house! Roger Dean Stadium.
4751 Main Street – Jupiter, FL 33458   Mega Bash

Lake Worth Independence Day Celebration
Lake Worth’s celebration, in Bryant Park, will feature live music starting at 3 p.m. Food, arts and crafts and a kids area with bounce houses. The raft parade starts at 11:30 a.m. and the annual raft race in the Intracoastal starts at 1 p.m. Fireworks display is at 9 p.m. Free.
100 S. Golfview Road – Lake Worth, FL 33460    Independence Day Celebration

4th of July Science Celebration
The South Florida Science Center is throwing a family-friendly daytime event which will feature live science demonstrations, patriotic hands-on activities, live aquarium interactions and more. The special activities are included in the regular admission price. Check in on Facebook when you arrive to receive a $2 discount. The event is from 11 a.m. to 4 p.m.
4801 Dreher Trail N – West Palm Beach, FL 33405    Science Celebration

Abacoa’s 4th of July Block Party
Come celebrate July 4th at Downtown Abacoa. Downtown Abacoa is hosting a block party on Town Center Drive. Food/drink specials, shopping specials, beer pong, cornhole tournaments, kids activities and a live Aerosmith Tribute Band! Enjoy the fireworks!
1200 Town Center Drive – Jupiter, FL 33458     Abacoa Block Party

4th on Flagler
This year, Fourth on Flagler turns 30 years old and to celebrate the downtown West Palm extravaganza will have special features such as a performance from The Air National Guard Band of the South, a 45-member military music ensemble.

The event will also have three stages of entertainment, a military honor ceremony, larger-than-life versions of games like Human Foosball, life-sized Jenga and Pong. New this year, will be an air-conditioned arcade. It all takes place from 5 to 10 p.m. at the east end of Clematis on the West Palm Beach Waterfront. Free.
100 N Clematis Street – West Palm Beach, FL 33401  4th on Flagler

The Market Preview

June 27th, 2018

Steve Hollander – Hollander Real Estate
Jackie Doran – Capital Partners Mortgage, LLC

War Bluster Holds Mortgage Rates in Check
Wars are rarely a good thing. The costs nearly always outrun the benefits. A trade war is a war. A trade war looms.

President Trump announced $50-billion worth of tariffs on Chinese imports late last week. Retaliation was inevitable. Hours after Trump’s announcement, China’s Finance Ministry issued a list of 545 product categories of U.S. imports on which China will impose a 25% tariff.

Escalation was also inevitable. Trump responded to China’s tariff volley with threats to impose an additional 10% tariff on an addition $200 billion of Chinese goods. Beijing officials responded in kind. The officials warned they would retaliate with even more tariffs.

So what does this have to do with us?

Wars, including trade wars, instill anxiety because they raise uncertainty. When investors and other market participants are more anxious, they seek havens. If we’ve noted once, we’ve noted a thousand times that U.S. Treasury securities are frequently the go-to havens. Not surprisingly, demand for these securities has risen over the past week. When demand rises, yields fall.

We follow the yield on the 10-year U.S. Treasury note closer than most yields. As the yield on the 10-year note goes, so go mortgage rates. Demand for the 10-year note has lowered its yield by 10 basis points. Mortgage rates dropped slightly over the past week. Rate quotes on prime 30-year fixed-rate conventional mortgages hover around 4.625% based on the national average.

Rate quotes could be about as good as it gets for the short term.

The bluster emanating from Beijing and Washington unsettled financial markets. The bluster will pass, as all wind does. It may have already passed. Yields on Treasury securities and rate quotes for mortgages have crept higher in the past couple days.

The good news is that many borrowers stepped to the fore to exploit an opportunity. Mortgage application volume spiked notably higher, according data collected by the Mortgage Bankers Association (MBA). The MBA’s Market Composite Index increased 5.1% in the latest reported week. It was the biggest increase in total mortgage volume since the first week of January.

We have a slight reprieve in the rate-rising trend, Keep in mind, though, that consumer-price inflation is on the rise. This ensures another federal funds rate increase by the Federal Reserve. We should expect one, if not two, additional increases this year. We expect other interest rates to keep pace.

Economics in a Few Paragraphs
Whether you agree or disagree with the Trump administration’s position on trade, it’s important to know that actions have consequences. Political actions generate consequences that will be both beneficial and harmful. Who benefits and who is harmed depends on the particular constituent group.

The Trump administration slapped a 20.8% tariff on imported Canadian lumber last year. The tariffs have benefited one set of constituents: U.S. lumber producers. The tariffs have harmed another set of constituents: U.S. homebuilders.

The June reading on the homebuilder sentiment index dropped two points to 68. Sentiment is still positive, but less so than in recent months. Rising costs are a concern, particularly rising lumber costs.

The National Association of Home Builders is concerned that U.S. tariffs applied to Canadian lumber (and other imported products) are hurting housing affordability. The concerns are legitimate. Lumber prices have trended higher since the tariffs were applied. Lumber prices are at a record high today. The NAHB tells us that record-high lumber prices have added nearly $9,000 to the price of a new single-family home.

Rising lumber costs are driving new-home prices higher. They’re also contributing to rising existing-home prices. Home demand remains high. Rising homebuilder costs retards supply growth, which ensures prices all around remain high.

The National Association of Realtors reported a small decline in existing-home sales for May. It also reported a big year-over-year price increase. The median existing-home price came in at $264,800, an all-time high. The latest price increase marks the 75th consecutive month of year-over-year price gains.

We suspect that a similar benefit/cost dispersion will occur if tariffs are applied to Chinese products, Many of these products (steel, for instance) are input factors in the U.S. housing market. Homebuilders might have to bear additional costs, which means U.S. home buyers will have to bear higher home prices.

Jackie Doran
Capital Partners Mortgage, LLC
Loan Officer
NMLS # 364090
Jackie.Doran@CapitalPartnersMtg.com
(561) 716-0448
www.mortgagesbyjackie.com
© 2017 Capital Partners Mortgage, LLC. All Rights Reserved. This communication does not constitute a commitment to lend or the guarantee of a specified interest rate. All loan programs and availability of cash proceeds are subject to credit, underwriting and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply. Jackie Doran NMLS # 364090, . 11290 Legacy Ave, North Palm Beach, FL 33410. Capital Partners Mortgage, LLC  1515 N. University Drive, Suite 102D, Coral Springs, FL 33071. Corp NMLS# 1084639 (www.nmlsconsumeraccess.com). Equal Housing Lender. 

What You Need to Know About Buying a House in Summer 2018

June 26th, 2018

Steve Hollander – Hollander Real Estate
Trulia’s Blog

The sun is high and hot—and so is the competition for buying a home.

Thinking about buying a home this summer? The sunniest time of year is great for exploring new neighborhoods and visualizing future patio parties during viewings. But before you start any serious shopping, it’s important to understand what the housing market is like for buyers right now, and what you can do to end up with the best home—and the best price—for you.

The housing market should be just as strong this summer as it’s been all spring. Existing home sales and list prices have risen this year, and starter home inventory has plummeted by 14 percent. But there are perks to house hunting right now, too. Here are some facts and tips to help you get the most out of this year’s summer housing market.

Summer Market Facts

Prices drop during the summer.
Summer may be a busy home-buying season, but it’s not as crazy as spring. In fact, prices drop from May through October. If you can hang on until late August, you could find a really great deal—that’s when nearly 14 percent of listings get a price cut.

PMI is getting more affordable.
There’s good financing news, too: Private mortgage insurance (PMI) is getting cheaper after PMI lenders MGIC and Radian lowered their rates this spring.

“That’s going to cause most of these PMI companies to be competitive, which is going to bring them all down,” Knoxville real estate agent Nic Nicaud says. Because PMI is typically required when homebuyers have a down payment of less than 20 percent, that means it’ll be cheaper for some buyers to get into homes sooner.

Summer 2018 Homebuying Tips

Don’t discount older listings.
When homes are flying off the market within days, it’s easy to think a listing that’s a week or so old is a red flag. Minneapolis real estate agent Danny Dietl says that’s not always the case. In his experience, it’s often because a buyer got cold feet and pulled out of a deal on a perfectly good house. But thanks to the assumptions people make about older listings in busy markets, the delay can cause the price to come down.

Consider a fixer-upper.
In a competitive market, it’s important to be flexible. That could mean going with a fixer-upper, even if you were imagining a move-in ready dream home. There are just more of them out there: The number of starter homes on the market is shrinking, but there are 8.3 percent more fixer-uppers among them than there were six years ago.

If you’re dead-set against a fixer-upper, Dietl says to be prepared to move quickly. “There’s only ever going to be a couple of options at a time,” he says. “And when new listings come on, it’s going to be pretty ferocious.”

Get to know the neighborhood.
In competitive markets, it’s tempting to make an offer on any available property that fits your criteria, but if it’s in the wrong neighborhood, you may never end up feeling at home in your house.

Take the time to do some community scouting before making an offer. You might notice convenient parks and new playmates for your kids—or be relieved to find more nightclubs than strollers on your block. You can even find out what your future neighbors have to say about the area with the new What Locals Say feature on listings throughout Trulia.

Make the strongest offer—even if it’s not the highest.
Obviously, now is not the time for low-ball offers. But the strongest offer isn’t always the highest one. Dietl says cash offers are often the secret to a winning bid. “You can even actually be the highest offer by thousands of dollars, and a cash offer may take precedence,” he says.

Sure, coming up with a cash offer could be tough for many buyers. But there are other ways to make a strong offer that don’t require gobs of money: Including generous contingencies, like a shorter closing or inspection period, and writing a great offer letter can help make your offer stand out.

Read more:

The Markets In A Minute

June 25th, 2018

Steve Hollander – Hollander Real Estate
Jackie Doran – Capital Partners Mortgage, LLC

The Economy

Tariffs imposed by President Trump have elicited retaliation from countries around the globe. Concerns about a trade war have helped mortgage rates.

Fed Chair Powell recently confirmed the case for continuing to raise interest rates remains “strong.” He cited solid economic growth and full employment.

Jobless claims have fallen for the 4th straight week. Employers are increasingly reporting labor shortages, which are likely to lead to wage growth and inflation.

Housing News

Home builders are excited by strong demand for housing. However, they are frustrated with labor shortages and rising costs for lumber.

New housing starts surged to an 11-year high of 1.35 million in May. Both single-family and multi-family home construction increased.

Existing home sales fell last month, as a shortage of properties pushed prices to a record high. At May’s sales pace, unsold inventory is at a 4.1-month supply.

Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.

Jackie Doran

Capital Partners Mortgage, LLC
Loan Officer
NMLS # 364090
Jackie.Doran@CapitalPartnersMtg.com
(561) 716-0448
www.mortgagesbyjackie.com
© 2017 Capital Partners Mortgage, LLC. All Rights Reserved. This communication does not constitute a commitment to lend or the guarantee of a specified interest rate. All loan programs and availability of cash proceeds are subject to credit, underwriting and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply. Jackie Doran NMLS # 364090, . 11290 Legacy Ave, North Palm Beach, FL 33410. Capital Partners Mortgage, LLC  1515 N. University Drive, Suite 102D, Coral Springs, FL 33071. Corp NMLS# 1084639 (www.nmlsconsumeraccess.com). Equal Housing Lender.

Common Expenses for New Home Buyers

June 20th, 2018

Steve Hollander – Hollander Real Estate
Florida Realtors®

The Market Preview

June 19th, 2018

Steve Hollander – Hollander Real Estate
Jackie Doran – Capital Partners Mortgage, LLC

Fed Raises Interest Rates: What Does it Mean to Us?
Federal Reserve officials came and went this past week. Before they went, they raised the target range on the federal funds rate to 1.75%-to-2.00%. The range was lifted 25 basis points (a quarter of a percentage point) above the previous range.

The increase was really a non-event. Most market watchers expected the Fed to raise the range. The Fed followed the script and raised the range for the second time (in 25-basis-point increments) this year.

Another increase is all but assured. The odds are rising that two more increases could occur before the end of the year.

The federal funds rate is an overnight lending rate for commercial banks. It’s a base rate and an important interest rate. The federal funds market, to which the federal funds rate applies, works this way.

Commercial banks maintain reserves with the Federal Reserve. Commercial banks maintain reserves to meet reserve requirements set by the Fed. The reserves serve as a base for generating loans. They also serve as a means to clear financial transactions. When checks written against a bank are presented, the bank must have the money to honor the checks.

On any particular day, some banks have a surplus of reserves, others have a deficit. A market arises for banks to lend excess reserves to banks with a deficit of reserves.

Short-term lending rates respond immediately to changes in the federal funds rate. Long-term rates respond with a lag, if they respond at all. The Fed can raise the federal funds rate and short-term interest rates can rise above long-term interest rates if long-term interest rates don’t respond. In this case, the yield curve inverts, which can signal a recession.

Long-term interest rates will respond if the Fed raises the federal funds rate to hold consumer-price inflation in check. Consumer-price inflation is a key variable in long-term interest rates.

The Fed increased its inflation outlook last week. It projects consumer-price inflation to run at 2.1% annually for 2019 and 2020. Consumer-price inflation runs hotter than 2.1% now.

The May reading of the Consumer Price Index shows inflation running at a 2.8% annualized rate. It hasn’t run this hot in six years. The good news is that the credit-market response has remained muted. The yield on the 10-year U.S. Treasury note moved a couple basis points higher.

We saw a slight increase in mortgage rates this past week. Quotes at the national level on a prime 30-year conventional loan remain ensconced between 4.625% and 4.75%. Quotes have crept closer to the 4.75% boundary.

Is this as good as it gets going forward?

All signs point to a rising-interest-rate environment. Reprieves are always possible. That said, to float on the prospect of a reprieve is more of a gamble and less of an analytical decision.

Did Warren Buffett Call a Market Top in Housing?
USG Corp., the largest maker of drywall, recently announced that it will be acquired by Germany-based Knauf for $7 billion. The acquisition was given the green light by Berkshire Hathaway, which owns 28% of USG’s outstanding shares.

Berkshire Hathaway has served as Warren Buffett’s investment vehicle for the past 50 years. Warren Buffett is the most acclaimed investor in the past 50 years. Buffett buys when others are selling. He sells when others are buying. No investor has employed the strategy to greater wealth-generating success.

Buffett scooped up his USG ownership position during the financial crisis 10 years ago in a deal that valued USG at less than $1 billion. When the Knauf acquisition closes, Buffett’s USG investment will net him around $2 billion, nearly seven times his original investment.

USG has prospered with the new-home market. Drywall is an obvious input to a new home. Buffet has the knack for buying low and selling high. More than a few commentators have connected the dots. They have publicly speculated if Buffett is selling USG near a market top in housing.

We’re more sanguine on Buffett’s sale. USG has performed only “okay” since the housing recovery. It reported $2.9 billion in annual sales in 2011. It reported $3.2 billion last year. That’s only 1.7% annualized growth. Buffett simply received an offer too good to refuse on what is really a middling business.

Berkshire Hathaway still owns $23 billion worth of Wells Fargo stock. Wells Fargo is the largest mortgage originator in the country. No Wells Fargo shares have been sold.

In other words, it’s still all good with housing.

Jackie Doran
Capital Partners Mortgage, LLC
Loan Officer
NMLS # 364090
Jackie.Doran@CapitalPartnersMtg.com
(561) 716-0448
www.mortgagesbyjackie.com
© 2017 Capital Partners Mortgage, LLC. All Rights Reserved. This communication does not constitute a commitment to lend or the guarantee of a specified interest rate. All loan programs and availability of cash proceeds are subject to credit, underwriting and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply. Jackie Doran NMLS # 364090, . 11290 Legacy Ave, North Palm Beach, FL 33410. Capital Partners Mortgage, LLC  1515 N. University Drive, Suite 102D, Coral Springs, FL 33071. Corp NMLS# 1084639 (www.nmlsconsumeraccess.com). Equal Housing Lender. 

The Markets In A Minute

June 18th, 2018

Steve Hollander – Hollander Real Estate
Jackie Doran – Capital Partners Mortgage, LLC

The Economy

As expected, the Fed raised policy rates a quarter percent at this week’s meeting. The increase will likely have little impact on long-term mortgage rates.

The surprise came with the Fed’s statement that two more rate hikes are likely this year. That’s one more than initially projected.

Strong economic indicators support the rate changes. Jobless claims dropped 4K from last week, and last month’s retail sales were higher than anticipated.

Housing News

Median priced homes are flying off the shelves, so to speak. A recent industry analysis pinpointed the median listed-to-sale time frame at 64 days, a post-recession low.

A recent Fannie Mae survey found sellers more positive than buyers. Price increases paired with rising rates are tempering buyer attitudes.

CoreLogic reports the average U.S. homeowner gained $16,300 in home equity over the last year. Increased equity gives owners more flexibility in selling and financing.

Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.

Jackie Doran

Capital Partners Mortgage, LLC
Loan Officer
NMLS # 364090
Jackie.Doran@CapitalPartnersMtg.com
(561) 716-0448
www.mortgagesbyjackie.com
© 2017 Capital Partners Mortgage, LLC. All Rights Reserved. This communication does not constitute a commitment to lend or the guarantee of a specified interest rate. All loan programs and availability of cash proceeds are subject to credit, underwriting and property approval. Programs, rates, terms and conditions are subject to change without notice. Other restrictions apply. Jackie Doran NMLS # 364090, . 11290 Legacy Ave, North Palm Beach, FL 33410. Capital Partners Mortgage, LLC  1515 N. University Drive, Suite 102D, Coral Springs, FL 33071. Corp NMLS# 1084639 (www.nmlsconsumeraccess.com). Equal Housing Lender.