Snow Day! And Rates Fall!
Wow, we woke up and the world was coverd with white fluffy stuff. There is no school, it's an official Snow Day. Sorry, grownup world, but this is wonderful...and as a grownup, I have to go to the airport to pick up a guest from Japan so I will take my camera and see what the city looks like. Meanwhile, got a message from one of my most trusted loan officers, Jack de Cook which gave the following information (Thank you Jack!!!!):
Last Week in the News
Following a plunge in global financial markets, the Federal Reserve slashed the federal funds rate on January 22 by three-quarters of a percentage point to 3.5%, the biggest interest rate cut in 18 years. The federal funds rate is the interest that banks charge one another on overnight loans.
On the same day, the Fed also lowered its discount rate to 4% from 4.75%. The discount rate is the rate at which banks can borrow directly from the Federal Reserve. The Fed's twin cuts are designed to keep financial institutions lending money to businesses and consumers, rather than fuel an economic downturn by limiting credit.
For the week ending January 17, rates on 30-year fixed-rates fell to their lowest level since July 2005, Freddie Mac reported January 24.
Falling mortgage rates helped boost mortgage application volume by 8.3% over the same week, the Mortgage Bankers Association said January 24. Applications were 63.7% higher than during the same week in 2007. Refinancing accounted for 66% of mortgage applications compared to 62.7% a week earlier.
The news was tonic to a housing market that saw existing home sales fall 2.2% in December, closing out a year in which sales of single-family homes swooned 13%, the largest amount in 25 years, the National Association of REALTORS® said January 24. The median price for a single-family home dropped 1.8% to $217,000, the first annual price decline dating to 1968 records.
This week look for updates on new home sales on January 28.
Economic data compiled from government reports and news services msnbc.com, cnbc.com, cnn.money.com and Yahoo Economic Calendar.
Hey, Jack, thanks for all the good info, we appreciate you!!
Edy Kizaki, Realtor
Last Week in the News
Following a plunge in global financial markets, the Federal Reserve slashed the federal funds rate on January 22 by three-quarters of a percentage point to 3.5%, the biggest interest rate cut in 18 years. The federal funds rate is the interest that banks charge one another on overnight loans.
On the same day, the Fed also lowered its discount rate to 4% from 4.75%. The discount rate is the rate at which banks can borrow directly from the Federal Reserve. The Fed's twin cuts are designed to keep financial institutions lending money to businesses and consumers, rather than fuel an economic downturn by limiting credit.
For the week ending January 17, rates on 30-year fixed-rates fell to their lowest level since July 2005, Freddie Mac reported January 24.
Falling mortgage rates helped boost mortgage application volume by 8.3% over the same week, the Mortgage Bankers Association said January 24. Applications were 63.7% higher than during the same week in 2007. Refinancing accounted for 66% of mortgage applications compared to 62.7% a week earlier.
The news was tonic to a housing market that saw existing home sales fall 2.2% in December, closing out a year in which sales of single-family homes swooned 13%, the largest amount in 25 years, the National Association of REALTORS® said January 24. The median price for a single-family home dropped 1.8% to $217,000, the first annual price decline dating to 1968 records.
This week look for updates on new home sales on January 28.
Economic data compiled from government reports and news services msnbc.com, cnbc.com, cnn.money.com and Yahoo Economic Calendar.
Hey, Jack, thanks for all the good info, we appreciate you!!
Edy Kizaki, Realtor
Labels: home sales, housing market, interest rates, loan officer
| posted by Edy Kizaki on Monday, January 28, 2008
Snow Day! And Rates Fall! - Permanent Link |
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