Mortgage Bonds were helped this morning, after a rough open, by news that the Unemployment Rate increased to 5.50%, up from 5% last month. As you know, bad news in employment usually fuels good news for mortgages.
Speaking of fuel, oil prices continue to spark inflation fears, which are always a key negative indicator for mortgages. This coupled with statements made by the European Central Bank of potential rate increases, will surely put pressure on the dollar, making foreign goods and services more expensive in the U.S. and also contributing to inflation.
I will continue to keep close tabs on inflation indicators, and as things change I will continue to keep Brentwood TN Homes and Real Estate readers informed.
*Information Courtesy Tonya Esquibel, WR Starkey Mortgage Brentwood/Franklin, TN*
Vanessa Stalets
615-957-6333
Brentwood TN Homes
RE/MAX Elite
615-661-4400
THE FOLLOWING LENDERS HAVE GONE FROM THE AILING LIST TO IMPLODED:
(For a complete list please visit Brentwood TN Finance)
Vanguard Mortgage & Title, Inc.
Chase Home Equity - Wholesale
Chase Subprime - Wholesale
Evergreen Investment & Carnation Banc
Casa Blanca Mortgage/Shearson - Wholesale
UPDATED AILING LENDER LIST:
17. Franklin Bank, SSB
16. Wilmington Finance
15. Bayview Lending Group, LLC
14. Homewide Lending Corporation
13. Thornburg Mortgage
12. American Equity Mortgage, Inc.
11. CTX Mortgage Company (Retail)
10. First Horizon Home Loans
9. Gateway Funding
8. BankUnited (Wholesale)
7. Chevy Chase Bank - Wholesale
6. IndyMac Bancorp
5. MortgageIT
4. Sallie Mae
3. Meridias Capital
2. Doral Financial Corp.
1. Residential Capital, LLC
Call now for more information.
"Let Me Do The Worry AND The Work" while you relax and plan your future!
Vanessa Stalets
RE/MAX Elite - 615-661-4400
Brentwood TN Real Estate
Mortgage bond prices fell pushing mortgage interest rates higher. Rising inflation fears dominated trading. Oil prices hit all-time highs as the price of a barrel eclipsed $135. Fortunately the steep price increases subsided in overnight trading Thursday evening. Mortgage bonds were able to bounce back a bit Friday morning erasing some of the prior losses and helping rates recover.
For the week, interest rates on government and conventional loans rose by about 1/4 of a discount point.
The preliminary GDP data will be the most important event this week. Consumer confidence and the inflation data also have the potential to cause mortgage interest rate volatility. The bond market is closed Monday in honor of the Memorial Holiday. Expect market volatility when trading resumes Tuesday.
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Economic Factors |
|||
|
Economic Indicator |
Release Date Time |
Consensus Estimate |
Analysis |
|
Memorial Day |
Monday, May 26, 2008 |
None |
Shortened week may lead to market volatility when trading resumes Tuesday morning. |
|
Consumer Confidence |
Tuesday, May 27, 2008 |
61.0 |
Important. An indication of consumers' willingness to spend. Weakness may lead to lower mortgage rates. |
|
New Home Sales |
Tuesday, May 27, 2008 |
Down 1.1% |
Important. An indication of economic strength and credit demand. Weakness may lead to lower rates. |
|
Durable Goods Orders |
Wednesday, May 28, 2008 |
Down 0.7% |
Important. An indication of the demand for |
|
Q1 Preliminary GDP |
Thursday, May 29, 2008 |
Up 0.9% |
Very important. The aggregate measure of US economic production. Weakness may lead to lower rates. |
|
Personal Income and Outlays |
Friday, May 30, 2008 |
Income up 0.2%, Outlays up 0.2% |
Important. A measure of consumers' ability to spend. Weakness may lead to lower mortgage rates. |
|
PCE Core Inflation |
Friday, May 30, 2008 |
Up 0.1% |
Important. A measure of price increases for all domestic personal consumption. Weaker figure may help rates improve. |
|
U of Michigan Consumer Sentiment |
Friday, May 30, 2008 |
60.2 |
Important. An indication of consumers' willingness to spend. Weakness may lead to lower mortgage rates. |
Trading This Week
Market conditions that often lead to mortgage interest rate volatility are thin trading and shortened trading weeks. If very few market participants are buying and selling bonds, the potential for short-term volatility is escalated. A large buyer or seller can execute trading orders that, without additional traders to buffer out the extreme buying or selling, can lead to swift market movements. In addition, shortened trading weeks have the potential to compress a week's worth of trading into fewer days. Bond traders often take defensive positions ahead of weekends and holidays to guard against unforeseen events that could possibly jeopardize their investments. This positioning can be beneficial or detrimental to mortgage interest rates. If investors sell stocks and buy mortgage-backed securities, mortgage interest rates will improve. However, if investors sell mortgage-backed securities and hold cash positions, mortgage interest rates will rise.
Holidays can often result in volatility as trading resumes following the extended close. This week could result in market swings that are favorable or negative in nature. Considering the heightened possibility for mortgage interest rate volatility, a cautious approach to interest rate exposure is prudent.
* Information courtesy Tonya Esquibel, WR Starkey Mortgage, Franklin TN*
Vanessa Stalets
Brentwood TN Real Estate
RE/MAX Elite
615-957-6333
615-661-4400
Good news for Brentwood TN Home buyers and the real estate market. Mortgage bond prices rose last week pushing mortgage interest rates lower. Stocks fell which helped bonds rally. Trading remained very volatile. Record high oil prices tempered improvements in mortgage interest rates as the fear of inflation continued to dominate the financial markets. OPEC blamed speculators and a weak dollar while some analysts expressed supply concerns associated with unrest in Nigeria. Foreign demand for US debt securities dwindled. For the week, interest rates on government and conventional loans fell by about 3/8 of a discount point.
The consumer price index data Wednesday will be the most important event this week. Retail sales, industrial production, capacity use, housing starts, and consumer sentiment data all have the potential to cause mortgage interest rate volatility. For more information, or to find a lender near you: Call Vanessa Stalets your Brentwood TN Real Estate leader. 615-957-6333
|
Economic Factors |
|||
|
Economic Indicator |
Release Date Time |
Consensus Estimate |
Analysis |
|
Retail Sales |
Tuesday, May 13, 2008 |
Unchanged |
Important. A measure of consumer demand. Weakness may lead to lower mortgage rates. |
|
Business Inventories |
Tuesday, May 13, 2008 |
Up 0.5% |
Low importance. An indication of stored-up capacity. A significantly larger increase may lead to lower rates. |
|
Consumer Price Index |
Wednesday, May 14, 2008 |
Up 0.3%, Core up 0.2% |
Important. A measure of inflation at the consumer level. Lower than expected increases may lead to lower rates. |
|
Industrial Production |
Thursday, May 15, 2008 |
Down 0.2% |
Important. A measure of manufacturing sector strength. Weakness may lead to lower rates. |
|
Capacity Utilization |
Thursday, May 15, 2008 |
80.2% |
Important. A figure above 85% is viewed as inflationary. A decrease may lead to lower rates. |
|
Philadelphia Fed Survey |
Thursday, May 15, 2008 |
None |
Moderately important. A survey of business conditions in the Northeast. Weakness may lead to lower rates. |
|
Housing Starts |
Friday, May 16, 2008 |
Down 0.7% |
Important. A measure of housing sector strength. Larger than expected decrease may lead to lower rates. |
|
U of Michigan Consumer Sentiment |
Friday, May 16, 2008 |
63.0 |
Important. An indication of consumers' willingness to spend. Weakness may lead to lower mortgage rates. |
Market Conditions
There is a Chinese proverb that states, "May you live in interesting times." It is often argued that the word interesting is meant to be a synonym for turbulent or dangerous. This phrase hits the bull's-eye given the current state of the financial markets.
While stocks and bonds are swinging around wildly there is some good news for Brentwood TN Real Estate and other markets as well. Interest rates for conforming and FHA/VA loans are still historically low by many standards, which is great news for first time home buyers in the Brentwood TN area.
However, low rates are not a given considering the escalating inflation fears that continue to dominate trading amid rising oil prices. Many analysts predict oil prices will continue to rise. While this doesn't automatically equate to higher mortgage interest rates, rising energy prices are usually viewed as inflationary. Inflation erodes the value of bonds causing bond prices to fall and rates to rise. Other investors believe slowing growth and the credit crisis will eventually stem the rising prices. This scenario would generally be positive for bonds, which always translates into a positive for mortgage rates and the Brentwood TN real estate industry.
*Information Courtesy Tonya Esquibel, WRStarkey Mortgage, Franklin TN*
Vanessa Stalets
Brentwood TN Real Estate
RE/MAX Elite
615-957-6333
615-661-4400
With the recent Mortgage Crisis still in full swing many Brentwood TN Real Estate buyers are confused about how to find out which lenders are sinking and which have already sunk. Over the last year hundreds of lending institutions have gone "belly up" or stopped retail lending due to the "credit crunch" default loan numbers increasing and poor lending habits to begin with. Here are the latest on the radar, watch to see where they go. For a list of the already fallen see Brentwood TN Finance on my Brentwood TN Real Estate site. Please remember that although there have been many "finance" changes there remain many strong and ethical lending institutions and with interest rates at a historical low, now is a great time to find one, get qualified and buy! Call me to find out more!
Lenders to Watch/Ailing20. Wilmington Finance
19. Bayview Lending Group, LLC
18. Chase Subprime - Wholesale
17. Homewide Lending Corporation
16. Thornburg Mortgage
15. American Equity Mortgage, Inc.
14. CTX Mortgage Company (Retail)
13. Chase Home Equity (Wholesale)
12. First Horizon Home Loans
11. Gateway Funding
10. BankUnited (Wholesale)
9. Casa Blanca Mortgage/Shearson
8. Chevy Chase Bank - Wholesale
7. IndyMac Bancorp
6. MortgageIT
5. Sallie Mae
4. Meridias Capital
3. Doral Financial Corp.
2. Evergreen Investment+Carnation Bank
1. Residential Capital, LLC
Vanessa Stalets
RE/MAX Elite
615-957-6333/ 615-661-4400
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Do you want to Sell/Buy Brentwood TN Real Estate? Do you expect Honesty & Integrity from your REALTOR®? Demand Exceptional Service?! Then Vanessa Stalets is the TN RE/MAX agent for you!615-957-6333
"Let Me Do the Worry and the Work"
Vanessa Stalets is one of RE/MAX Elite's brightest stars, specializing in the Nashville, Brentwood, Franklin, Williamson County and Middle Tennessee Real Estate Markets. Winner of the prestigious Executive award for top sales in 2006 and the 100% Award in 2007, Vanessa continues to exceed all client expectation! See how I can help you now!
Come visit my Brentwood TN Real Estate blog,
loaded with great consumer information and tips!
Get Your Own Custom Home Search
Email: Vanessa@vanessastalets.com
www.vanessastalets.com
Fabulous Homes Require a Fabulous Agent!
Vanessa is a diverse Realtor who is just as effective with first time home buyers as Million dollar listings. She offers not only advice on how to sell your home but she also stages it for FREE!
She has donated time and/or funds to the following charities:
Habitat For Humanity
The United Way
Komen Foundation
St. Jude's Children's Hospital
Children's Miracle Network
House of Mercy
Please do not hesitate to call on me if I can be of service in your
Brentwood, Franklin or Middle Tennessee area Real Estate needs.
"Vanessa Stalets really knocked herself out (even foregoing her own Thanksgiving weekend holiday to show houses to us out-of-towners) to help us find the perfect home. She went beyond the call of duty at every stage of the process to make sure our real estate needs were met. She not only found us the perfect home in Brentwood TN, she made sure that the deal went down right! And when it wasn't happening the way we needed it to, she never gave up --
"We contacted Vanessa over the Internet when looking on line for a summer home in Tennessee. She was Johnny on the spot and soon we had several homes that fit our criteria. We flew in from FL to see property with her. She was extremely professional and found us a one of a kind, incredible summer home. When you are buying or selling, in the Multi- Million Dollar range it is imperative to have an agent who is knowledgeable and trustworthy. Vanessa is all of that and more! We have purchased with her and listed with her, we would not use anyone else. Vanessa keeps your interests above all else!"
she kept working it until it worked.
Vanessa knows her stuff.
She's The Rock Star of REALTORS®!"
Brentwood TN- May 2008
Holiday Mathis - Author "Rock your Stars" and nationally syndicated horoscope column
Stuart Mathis - Guitarist/Songwriter -Solo as well as The Wall Flowers/ Leann Rimes/ Jewel
Joe and Libby
Franklin, TN
January, 2008
"We came to Vanessa after having had a horrible experience with an agent who was part-time and recommended lenders who did not explain things. The contract fell apart and we were left thinking we would never own a home. Vanessa swept in, connected us to a fabulous lender(Michael Church) and within a month we were closed! Vanessa went the extra mile over and over, she negotiated fiercely and won many concessions for us. We wish we had found Vanessa in the first place, she really know what she is doing!"
Victoria
Inglewood TN
November, 2007
"I tried to find a house on my own, having worked around the Real Estate business I thought I could do it without an agent. I ended up frustrated and out of time, Vanessa came highly recommended and she took us out every day until she found us the "one". We closed 3 weeks later just in time for the Holidays! Vanessa was not only knowledgeable but she was a stickler for the rules and made sure we were protected and represented EVERY step of the way! I love her and you will too!"
Kathleen
Brentwood TN
October, 2007
"Vanessa helped us purchase our first home 18 months ago, we did lots of upgrades and then Found out we needed a "bigger" house for a coming addition! We listed it with Vanessa as she was an incredible agent when we used her on the buy. She went above and beyond for us, including bringing her husband over and helping us paint! She staged our home beautifully and designed flyers and a virtual tour that made me want to stay in the home she was advertising! She thought outside the box at every turn and had innovative selling strategies such as a live video she took and put on you tube! She helped us purchase our new house prior to listing the old one, crazy some would say, but she had it sold before the first payment on the new house was due! In fact, we had one whole month with NO payments! I would recommend Vanessa for ALL transactions; she knows how to get it done, even in a "slow" market!
Drew and Kristin
Nippers Corner/ Franklin TN
August 2007
"We met Vanessa at an open house she held for one of her listings, the house was gorgeous but above our price range. Vanessa jumped right in and offered to assist us in our home search. We had spoken with several other agents but Vanessa made us feel like she could find exactly what we wanted! Within 1 week we found the "perfect" home, it was brand new on the market and Vanessa negotiated big time to get out offer accepted so fast. Nobody else even had a chance to see it! She also helped us with a lender and getting an awesome low rate! She took care of each step, kept us informed and represented our needs impeccably! We are newly weds and first time buyers and as such buying a home and all that goes with it was a bit daunting, we had heard stories of terrible mishaps. Vanessa made it an unbelievably easy and fun process, she never let the stress come through to us! She is the agent to have, bar none!"
"Vanessa came highly recommended by a friend at work. Kristin and her husband had used her before and were listing their home with her. We called her from outside a house in Gallatin on a Saturday afternoon hoping but not really believing that maybe we could get in to see it.Vanessa dropped what she was doing and drove out to the house! We were amazed! She showed us the house and a couple others. We fell in love with one and she helped us get a lender, qualified and an offer written in one weekend! She negotiated like a" Pit Bull" and got our offer accepted just hours before another offer came in! We closed within 3 wks and I was even on vacation in Alaska for 10 of those days. I did not have a worry or a fear, Vanessa is so capable that I knew all would be well. As a first time home buyer and now owner, I suspect it is not usually this easy, Vanessa is the reason! I would and have recommended her to family, friends and anyone else looking for an honest and dependable agent!"
Melissa H
Gallatin TN
June, 2007
"An update, Vanessa sold our house in a matter of hours!
She negotiated and followed through the contract, working out last minute details,
and keeping the sale on track. I used to think Realtors did not really earn their commission,
Vanessa has changed my mind. She was well worth any cost!
What a blessing she has been, Vanessa is the total package!"
Kay and Gordon
Brentwood TN
May, 2007
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