Tag Archive for: mortgage rates

How Interest Rates Impact Home Values (Not What You Think)

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“Jay, How Naïve Are You?” That was the response I got from a past client last spring when I was noting how higher interest rates had not yet impacted home […]Read More

The Fed Did NOT “Raise Rates 3/4% Yesterday” – Deflation/Lower Rates Coming Soon Part II

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The Fed raised rates 75 basis points or 3/4% yesterday – so my rate quote at the bottom of this blog went from 6.0% yesterday to 6.75% today. FALSE!! THAT […]Read More

It’s The Inventory, Stupid! (Why Values Are Not Crashing)

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Before I explain who I am calling “stupid,” I want to touch on numerous comments I received in regard to Monday’s Blog: Why Everyone Needs A House As An Inflation […]Read More

Lenders Pushing “Stated Income” & 100% Financing; Return of 2008?

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A Few More Notes On Rates Dropping By March I got a bit of pushback from yesterday’s blog (Why I Am Convinced Rates Will FALL By March) and I wanted […]Read More

Why I Am Convinced Rates Will FALL By March

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I have myriad acquaintances in the mortgage industry (mortgage bank CEOs even) who insist rates will continue to rise throughout 2023. They tell me I am crazy to think they […]Read More

Everything Lags…Making The Media & The Fed Wrong (AGAIN)

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In 1992, the rock band R.E.M. released the annoying song, Everybody Hurts. And, sensitive Gen Xers everywhere played it loudly and proudly on their Sony Walkmans and boomboxes to prove […]Read More

Are Rates Really Over 7%? Not Really; Rates Up 2% Since August; Surveys Lag Market

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Today’s average interest rate is 6.82% per Mortgage News Daily (about 1/2% higher than where they were last week). The average is up almost 2% from early August when it […]Read More

Rates at 2008 Levels! When Will Rates Fall?

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Mortgage Rates Top 6% for the First Time Since the 2008 Financial Crisis The above is a WSJ headline for this article. Rates are also back to where they were […]Read More

Inflation Drives Interest Rates – Except When The Fed Gets Involved

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As most people know, inflation drives interest rates because investors do not want to accept yields that are lower than the inflation rate because they will effectively be losing money […]Read More

Rising Housing Payments – In Perspective!

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The below chart was circulating on Twitter recently – and it of course made potential homebuyers unnecessarily apprehensive.   Yes, payments have surged, but I want to put this in […]Read More

Rates Went Way Down Because Rates Went Way Up (AGAIN)

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The Fed raised the Fed Funds rate by 0.75% yesterday as expected, and long-term rates have been falling ever since. I would not beat this dead horse again but for […]Read More

The “Fed” Does NOT Control Mortgage Rates

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The Fed controls the short-term “Fed Funds Rate,” or the overnight rate that banks charge each other. The Fed does NOT control long-term rates like the 10 Year Treasury or 30-year mortgage rates. The Fed can influence long-term rates with its comments and by raising the Fed Funds rate, but it does not have the final say.Read More

Good News! Recession Coming Soon; Rates Continue to Fall After Fed Raises “The Rate”

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A week ago, I pointed out how the recent 0.75% increase in the Fed Funds rate resulted in LOWER long-term rates. I highlighted three reasons for this: (1) The markets […]Read More

Fed Raised Rates & Mortgage Rates Fell – Before Rising Today

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The Fed raised the Fed Funds Rate 75 basis points (0.75%) yesterday, and mortgage rates largely fell in response to the news.Read More