Inventory stayed level week-over-week which is abnormal for this time of year.
|Jan. 14-20||Prev 4 Week Avg.||% Change||Jan. 7-13|
|New Pending Sales||620||435||42.69%||612|
|30 Year Fixed Mortgage||3.56%||3.21%||10.99%||3.45%|
The buyer frenzy that’s currently taking over the market may have something to do with that…
Check out this photo of an open (mad)house over the weekend. Thank you to local real estate agent powerhouse, Melissa Steele, for letting me use her photo.
It very nicely sums up how the market “feels” to those of us that are in the trenches every day.
Freddie Mac’s official mortgage rate shows another big week-over-week jump, but that has more to do with their reporting catching up with reality. For the first time in almost 4 weeks, reality is actually painting a more promising picture of the future.
Real rates today are pretty level with rates last Tuesday, and that means two things:
- Freddie Mac’s official weekly rate should level out next week. This will improve the “narrative” that buyers and sellers hear in the media.
- We’ve hit some sort of ceiling in the bond market which is a potential sign that the blood bath for mortgage rates could be settling down.
In The News
- Desktop appraisals for government-backed loans become an option starting March 19
- Fannie Mae forecasts a return to new normal, and Freddie Mac forecasts rates will stay below 4%.
- How much more pain can homebuyers take?
The Week Ahead
- It’s a big week. The Fed is meeting on Wednesday and Thursday and there is A LOT for them to discuss. No one is expecting any major decisions, but the bond market will be paying VERY close attention to the post-meeting update from Chairman Powell to see if there are updated opinions on inflation.
Alright, that’s a wrap for this week.