|For the Week Ending June 9, 2017
Please enjoy this quick update on what happened this week in the housing and financial markets.
|The labor market continues to show strength, with this week’s jobless claims below the 300,000 threshold for the 118th straight week and unemployment at 4.3%.|
|Recent data indicates that inflation is still below the Fed target of 2%, coming in at 1.5% in April. The Fed is expected to raise policy rates next week regardless.|
|Although a Fed policy rate increase next week is likely, that won’t necessarily drive mortgage rates higher. The Fed doesn’t control mortgage rates directly.|
|Home prices continue to soar, with low inventory causing bidding frenzies in some metro areas. Home-price growth is currently even outpacing rent gains.|
|According to NAR, 47% of consumers said it was a good time to buy a home, and 39% said it was a good time to sell. Both figures are up from a year ago.|
|Fannie Mae will ease income requirements in July, paving the way for more new buyers to qualify. Millennials with student debt are expected to benefit most.|
|A banker, an accountant and a real estate agent all become homeless and decide to live under a bridge.
The banker finds a cardboard box and moves into it.
The accountant finds a cardboard box, puts it next to the banker and crawls into it.
The real estate agent finds a cardboard box and puts it on top of the banker’s and accountant’s boxes. He then slaps a poster on it reading:
“Penthouse available in new development for professionals.”
Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.