08/02/2021
🏡 𝗙𝗼𝗿 𝘁𝗵𝗲 𝘄𝗲𝗲𝗸 𝗼𝗳 𝗔𝘂𝗴𝘂𝘀𝘁 𝟮, 𝟮𝟬𝟮𝟭
𝗥𝗲𝗰𝗮𝗽 𝗼𝗳 𝗹𝗮𝘀𝘁 𝘄𝗲𝗲𝗸: 𝗥𝗮𝘁𝗲𝘀 𝗶𝗺𝗽𝗿𝗼𝘃𝗲𝗱 👍
Average mortgage rates improved slightly on the week, after markets responded positively to the Fed's policy statement and to Fed Chair Jerome Powell's press conference afterwards. Investors don't seem too concerned about the timing of the Fed's tapering of bond purchases, which have kept rates low since the start of the pandemic.
𝗠𝗼𝗿𝘁𝗴𝗮𝗴𝗲 𝗥𝗮𝘁𝗲 𝗙𝗼𝗿𝗲𝗰𝗮𝘀𝘁: 𝗥𝗮𝘁𝗲𝘀 𝗹𝗶𝗸𝗲𝗹𝘆 𝘁𝗼 𝗶𝗺𝗽𝗿𝗼𝘃𝗲 👍
Average mortgage rates this week are likely to improve at least a little bit, although we do need to worry about some volatility on Friday when the jobs data is released. Rates will remain low this week though, even if we do see a slight increase at the end of the week. Most day to day movement will likely be a change in rebate pricing, the credit you get towards closing costs from your lender, or the fee you pay to get a lower rate, often called 'points'.
🗓️ 𝗪𝗵𝗮𝘁'𝘀 𝗮𝗳𝗳𝗲𝗰𝘁𝗶𝗻𝗴 𝗿𝗮𝘁𝗲𝘀 𝘁𝗵𝗶𝘀 𝘄𝗲𝗲𝗸:
- Fed stimulus: The Fed continues to buy Treasuries and mortgage bonds, helping keep mortgage rates low. As long as concerns about the Fed reducing bond purchases remain at bay, we should see rates remain low.
- Economic data: Not much on the calendar this week, and the only data that is likely to have an effect on mortgage rates is Friday's jobs data.
