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Graphic showing the 8 week trends of mortgage rates up to July 12, 2020

To find out if now is the time to buy, check out this week’s mortgage highlights:

  • The ISM Services Index surged by a record 11.7 points from May to June, landing at 57.1. The jump highlighted the surge in many economic indicators that appears to show an economy doing well.
  • While any good news is certainly welcome, it must be taken in context. Tens of millions of Americans remain unemployed, and the path back to where we were in February is by no means easy or guaranteed.
  • The Fed’s assurances of action and policy to support the economy continue to provide confidence that financial markets will function without seizing.
  • Against this backdrop, mortgage rates continue to slowly drift downward with experts debating how far they can fall.
  • After another weekend of unsettling virus data, the good news expected from Industrial Production and Retail Sales data may not cheer markets much.
  • Should we see more reversals of reopening plans, then rates will stay low. If economic news comes in short, and stocks fall as some experts are predicting, then we could see interest rates moving even further downward.
  • So is now the time to buy for you? Purchasing a home is about finding the perfect time in YOUR life. Click here to start your home search and see what’s available in today’s real estate market that fits your needs.

Equal Housing: The Law, But Not Reality

Two studies released last week identified just how deep the racial divide remains in the US housing market. One study discovered that black homeowners in the Chicago area pay an average of 13% more in property taxes than white owners with similar financial profiles. A review of mortgage denials in the 50 largest metros revealed that black applications were denied 12.64% of the time, while the overall denial rate was 6.15%. Refi denials ran 13.5% higher for black borrowers.