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It’s important to recognize that advice is extremely valuable when looking for a mortgage. The right advice can literally save you thousands of dollars, while the wrong advice can cost you the same.Â
I’m talking on this subject because too often when we’re asking the wrong questions when shopping around.
The first thing you’ve got to have your antenna up on is economic news if you want to have any idea what direction rates are moving.
Here’s this week’s economic calendar:
Screenshot Courtesy of Mortgage Market Guide
Inflation. Â It’s the name of the game anymore. Â If any economic reports indicate that inflation is a concern.. mortgage backed securities don’t sound so sexy to investors. Â If inflation isn’t a concern.. mortgage rates improve. Â Furthermore – when there is strong economic news, mortgage rates worsen. Â If things look weak, rates improve. Â These are the basics on mortgage rate movement.
This week’s Fed minutes will give a chance to get the feel for the Feds opinion on our current economy. Â Remember, the vote to cut a .25 of a percent was 8-2. Â That means that two members thought that we’d cut enough and inflation will be a concern. Â Wednesday we’ll get a better feel for what was said behind closed doors.
If you want to stay updated as these reports come out, follow me on Twitter.   You also might get to know a mortgage guy a little bit better!
One last thing, if you’re working with or talking with a mortgage professional that doesn’t know this weeks news, find someone that does.  It’s extremely important and could save you thousands of dollars over the life of your loan!Â
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