Click here to download the PDF.
FIRST TEAM’S WEEKLY MORTGAGE WATCH (June 18th, 2017) THIS WEEK HIGHLIGHTS THE FOLLOWING UPDATES:
- Even with a Fed rate hike last week, mortgage rates barely budged.
- The Fed did announce plans to begin reducing its massive balance sheet, at some point later in the year. The plan is very gradual and should help the market slowly adjust to a less accommodative policy.
- Overall, the economy seems to continue to remain in the same slow recovery mode that we’ve all grown accustomed too. As the 2nd quarter’s data trickles in, it appears we won’t have any large increase in overall economic activity.
- Industrial Production flat-lined, with manufacturing pulling back.
- Once again, inflationary pressures cooled while consumer moods are becoming less enthusiastic.
- Retail Sales retreated 0.3%. This week is relatively light for economic data, but we will get more insight into the housing market. We are expecting new and existing sales to head in opposite directions. If both can move upward, then we might see a little upward movement in rates.
- However, given last week’s somewhat weaker-than-expected data, mortgage rates may have a stronger tendency to slip downward.
Don’t Flip Out. It Just Might Be Your Turn
Many of us watch the television shows on flipping homes, and dream of breathing new life into that rundown gem of a home. Of course, flipping really is only for those can flip dozens of homes, right? Wrong! According to research from ATTOM data solutions, a whopping 69% of flippers in the first quarter of this year were mom and pop operations that only flipped one home.