Mortgage interest rates rallied last week as the incipient economic recovery stumbled following the Fed announcement and negative housing and manufacturing data. Fed officials announced they will leave the benchmark interest rate between zero and 0.250%, and said it would stay “exceptionally low” for an “extended period”. The Fed also acknowledged that economic activity has “picked up… but remains constrained by ongoing job losses, sluggish income growth, lower housing wealth and tight credit”. Later in the week, we learned that Existing Home Sales fell 2.7%, the first decline since March. Durable Goods Orders also fell unexpectedly in August, dropping 2.4%. New Home Sales were slightly below expectations, while the median price of a new home fell 9.5% from the month prior. The 30 Year Fixed currently sits at 4.625% (4.804% APR) and the 15 Year Fixed is at 4.250% (4.557% APR). There is an abundance of potential market-moving news this week, including Consumer Confidence, Jobless Claims, Personal Income, Factory Orders, Construction Spending and Unemployment Data.
We almost forgot to post today as we are preparing for the grand opening of our newest office location at 1319 Marsh Street in San Luis Obispo. Central Coast Lending now offers two office locations to serve your mortgage-related needs. We offer a full array of conventional and government loan programs for your next purchase or refinance. Whether you are a first-time home buyer, a savvy real estate investor or a family of five looking to improve monthly cash flow, we have the loan expert that understands your needs. Stop in and see us on the scenic coast at 601 Morro Bay Blvd, Suite B in Morro Bay. Or drop by our brand new office in downtown San Luis Obispo at 1319 Marsh Street.
Central Coast Lending, Inc.