Weekly Economic Update

Less-than-stellar housing news from last week and the Fed’s decision to further cut their bond-buying program in April are weighing on mortgage rates as we start the week.

February’s Existing Home Sales report showed a 7 percent decline from a year ago nationwide. 

However, KCRAR reports that local existing home sales rose 2 percent last month, compared to Feb., 2013, which is very good news.

Last week’s Housing Starts report also showed a decline, but Building Permits – a sign of future construction activity – surged by nearly 8 percent.

Bottom Line for Mortgages:

The Fed has spoken, and mortgage rates were negatively impacted as a result. They are continuing with their scheduled “tapering” of mortgage bond purchases, which is causing rates to rise.

Image

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s