Mortgage Market and Rate Watch For Week of November 3rd, 2008

What To Watch This Week?

There’s a lot going on this week (as there always seems to be anymore).  This week will give us a lot of insight on the jobs situation in the US.   We know the job market isn’t as strong as it’s been in the past.  The question is, how much worse has it gotten?  Only time will tell.  But remember this – as a general rule of thumb, strong news = higher mortgage rates.  The inverse is also true.

Many Factors to Watch

There is plenty of economic news for traders to digest this week.  Just remember to keep your eyes on the correct information.  Too many people (including the majority of the media) think that mortgage rates are based on the 10 Year T-Bill.  In the past couple of weeks, we’ve seen mulitpile occasions when they actually were trading in opposite directions.

Rough decision if you were floating as mortgage rates were getting hammered as T-Bills were soaring.  Ouch.

Don’t Discount The Election

Oh, that 800lb gorilla in the room?  Yea, traders will react to who is elected (as if it hasn’t been priced into the market already..).   Just count on the official tally making an impact on things.  Potentially a big one.

Since there’s always a lot going on, I like to pick out the two most likely ‘market moving’ reports each week.  If I had to pick a couple of reports to watch, they would likely be:

1. ADP Employment – Wednesday – Jobs impact a lot in our economy.  We’re already predicting a pretty big loss.  If it comes in uglier than expected, plan on rates improving.  If the report comes in strong, plan on rates increasing (just by rule of thumb).
2. Unemployment Rate – Friday – As unemployment rises nationally, we continue to see more stress put on the economy.  Last month we were at 6.1% unemployment.  It will be interesting to see how much of an increase (if any) we’ll see this month.

You Can Stay Updated!

I’ll be following things as they happen with live mortgage bond quotes and do what I can to keep everyone informed through Twitter. My clients always get the advice first, so I’ll try to filter though as quickly as I can.

Here’s this week’s economic calendar:

As a Consumer, How Do You Keep Posted on the News?

I’ll do my best to keep you posted throughout the week via Twitter. If you’re interested in finding out more about what effects mortgage rates and which direction they’re headed, feel free to follow me!

Work With Mortgage Professionals In The Advice Business

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.  Some mortgage professionals really don’t know what mortgage rates are based on, period.  If you want to get the best deal, having a professional that can give you that type of advice is extremely important.

Why Am I Posting A Calendar?

I provide this weekly news update because too often when we’re shopping around, we ask the wrong questions. 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.

So You Say, What Are Mortgage Rates Currently?

I get this question all too often. If I’m being fair.. and honest (which is my policy). I would be doing you a huge disservice to just quote a rate.

Truth be told, there are literally 27 different factors that go into a custom rate quote. There are also thousands of programs (constantly changing as well). It’s extremely important that you are educated on what is available and most importantly what is the best mortgage plan for you to personally implement.

It’s natural to have a list of questions. I’d love to help work through them with you and educate you on what you need to know about the mortgage process. I can help with everything from how to pre-qualified to what to do after closing (where I will continue working for you)!

It’s what we do, and it would be my honor to add you to our list of raving fan clients. If you’re currently looking for a mortgage loan or know someone that might have questions about one, please have them contact me. I’d be happy to assist them. It’s literally what I love doing! I promise to take great care.

Original Photo Kudos.

Tagged as: earnings, economic report, Mortgage, mortgage market, Rate, Unemployment