U.S. markets are closed today, so we won’t have new mortgage rate movement to report until tomorrow (February 19). Our last calculation (February 14) had rates moving up another 1/8 of a point in most cases, with a few additional upward revisions. Over the past month, the 30-year fixed has moved up from 3.000 (3.171 percent APR) to 3.250 percent (3.382 percent) APR. We adjust our published rates to keep them closest to one point in cost (for a guide to how mortgage pricing works, go HERE).
Check out the 10-program Rate Update tomorrow for updated pricing.
Last week was quite news heavy for real estate news, especially pertaining to the outlook of the market in 2013. Here is a quick summary of news covered on our website:
Foreclosure activity drops to begin new year, down 50 percent in SLO County
Last week, RealtyTrac published its January 2013 report. For the first time since 2007, California did not lead the nation in monthly foreclosure filings. The change came after the state implemented the Homeowners Bill of Rights to begin 2013. In San Luis Obispo County, there were 101 new foreclosure filings in January, a drop of 50 percent from the previous month.
Across the United States, foreclosure filings were down 28 percent from the previous year, and 7 percent monthly. The San Luis Obispo County foreclosure rate beat both the national (0.11 percent) and state (0.13 percent) averages.
Residential construction job growth to accelerate in 2013?
Goldman Sachs has projected that residential investment related employment could add 25,000 to 30,000 jobs per month in 2013, up from 14,000 jobs added in December. Housing contributed positively to GDP growth in 2012, and the increase in construction activity could be the next step that the market needs to recover.
Breaking down President Obama’s State of the Union comments on the housing market
President Obama’s comments on the housing market focused on expanding refinance to more families and breaking down barriers for “responsible” families to buy a home.
Housing affordability reached record levels in 2012 – SLO conditions just below national average
The National Association of Realtors created a statistic to measure housing affordability, based on a given market’s median home price, median income, and mortgage rate conditions. We extended this formula to SLO County, and found that the local “affordability” of a single-family stick build home is just below that of the record national average. The only issue here: this varies widely depending on the loan characteristics, and every borrower has his/her own needs.