Washington State Mortgage Rates Higher, House Passes Tax Credit Extension For Military

I haven't been posting here for awhile and I know, shame on me. Here's something I read recently that should get you thinking about encouraging those on the fence, that if they're able to, should refinance or buy now, sooner than later.

I would suspect rates will start to rise shortly after the first of the year.  So, if waiting to act, get with your lender and take action now to avoid being caught in the rush, as the rates go higher.  Call me at (360) 597-8283 if you have any questions.  See you in the next post. (Hopefully, it won't be several months from now! LOL)  ---- Post below

Mortgage Rates Higher. House Passes Tax Credit Extension for Military

Mortgage Rates Higher. House Passes Tax Credit Extension for Military
by Victor Burek -

The bond market was closed yesterday in observance of Columbus Day so mortgage backed securities did not trade. Regardless of that, several lenders issued rate sheets, however as is typical of holiday pricing strategies, rate sheets were conservative. Most lenders were offering 4.875% as the par rate for well qualified consumers. So far this morning, MBS prices are higher on the day which should allow lenders to issue more aggressive loan pricing (not as aggressive as last week).

We do not receive any market moving reports today but the action does pick up tomorrow with the release of the Retail Sales report. MBS typically benefit with a lower than expected reading and economists’ surveyed are expecting retail sales to post a month over month decline of 2.1%. The only items of any significance today will be a couple speeches by Fed members Donald Kohn and William Dudley. Any time Fed members speak, market participants do pay attention for any clues to future monetary policy and their economic outlook.

The House of Representatives passed a bill yesterday aiming to extend the First Time Home Buyer Tax Credit. Before you get to excited, it appears that it will only be extended for veterans of our armed forces for up to 6 months. To qualify, the veteran must have served overseas for 90 days in 2009. If you are a first time home buyer looking to take advantage of the up to $8000 tax credit, the clock continues to tick. It is set to expire after November 30th so get your application in with your lender.