This week’s survey reflects pre-election market conditions. As a result, the 30-year mortgage rate increased to 3.57 percent, only 3 basis points higher than last week’s level. On Wednesday, the 10-year Treasury yield closed above 2 percent, about 25 basis points higher than its pre-election value and its highest yield since January. At this point, it is too soon to tell whether Treasuries will hold this new level or if the mortgage rate will increase as much over the coming week.
For Week Ending October 29, 2016
We enter the fourth quarter of the year knowing that the share of first-time home buyers rose for the first time in approximately three years. This fact is driven primarily by healthy job growth, but we need to see more homes entering the market in order to combat the low inventory struggle witnessed during the entirety of 2016.
In the Twin Cities region, for the week ending October 29:
For the month of September:
All comparisons are to 2015
Click here for the full Weekly Market Activity Report. From The Skinny Blog.
A jump last week in the PCE — the price index tracked most closely by the Fed — raised the prospect that inflation might not be completely dead after all. Investors reacted by driving the yield on the 10-year Treasury to its highest point since June. The 30-year mortgage rate jumped 7 basis points to 3.54 percent, the largest 1-week increase in over six months.
For Week Ending October 22, 2016
Even though there are still more than two months remaining on the year, there is little to suggest that the prevailing trends of 2016 will suddenly change. If all holds firm, inventory will trend lower, prices will trend higher and sales will show that demand remains strong, despite having fewer homes to choose from.
In the Twin Cities region, for the week ending October 22:
For the month of September:
All comparisons are to 2015
Click here for the full Weekly Market Activity Report. From The Skinny Blog.
Mortgage rates continue to be relatively stable and at near record lows. The 30-year fixed-rate mortgage fell 5 basis points week-over-week to 3.47 percent, erasing last week’s increase.