What’s Ahead For Mortgage Rates This Week : April 4, 2011

September 23, 2011 at 2:09 pm Leave a comment

Unemployment Rate 2008-2011In a volatile week of trading, mortgage markets closed unchanged last week. Despite economic data proving stronger-than-expected — a situation that tends to lead mortgage rates higher — concern for persistently high oil prices tempered Wall Street’s excitement and mortgage rates stayed steady.

That’s not to say rates weren’t volatile, however. From day-to-day, mortgage rates showed huge variance last week and several lenders issued five separate rate sheets Friday.

The 12-month average is slightly less than two per day.

Expect the volatility to continue into this week, too. With little economic data due for release, mortgage rates should move on momentum. This would be good news for rate shoppers and home buyers throughout Michigan because mortgage rates ended last week on a downswing.

It’s all because of the March jobs report.

The jobs report is important to the economy because as the number of working Americans grows, so does total earned wages nationwide. In theory, this leads to higher levels of consumer spending, and to larger government tax receipts.

It starts a cycle in which businesses and governments additional workers and the cycle continues.

The U.S. economy added jobs in March for the sixth straight month.

Mortgage rates are 0.69% higher today as compared to their early-November 2010 lows. The jump has added 14 percent to the 30-year, long-term cost of homeownership in Lansing. However, as compared to history, rates remain low.

If you’re currently shopping for a mortgage, talk to your loan officer about today’s market and its risks. Rates may not rise this week, but they’re poised to surge along with the economy. Consider locking in today.

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Entry filed under: Jobs Report, Weekly Review.

Lock Now? Friday’s Job Report Expected To Push Mortgage Rates Up. Get Your Applications In : FHA Mortgage Insurance Premiums Rising 0.25 Percent April 18, 2011

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Don Grimes

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Don Grimes
"Your Residential Mortgage Specialists"
Senior Mortgage Loan Officer
NMLS: #130686

Michigan Mutual, Inc
Office: (517) 507-0151
Toll Free: (800) 521-1642
Mobile: (517) 927-8110
don@DonGrimes.com
www.DonGrimes.com

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