Rates.
Well up until today, rates had been very stable, trading in a very narrow band, which has kept our rates at the lows for the year. Not quite all time lows but still sitting in the 3’s.
Well today it was a different story. The GDP for the 1st quarter came out and it was not pretty. Growth for the US was expected to be 3.1% for the last quarter, but it came in at 2.5%. And even though consumer spending was up, it was mainly due to increased gas prices.
This has caused some traders to go back into bonds, and as of this afternoon, we are seeing a nice rally in Mortgage Bonds, thus improving interest rates. Now we haven’t had any lender improve rates today. I will think they will wait until Monday or Tuesday to see if this rally holds, and to see if the US is going to invade Syria.
So for right now I am saying float rates for those of your risk takers. Rates are dropping ever so slightly, but be on the look out for next Friday. Unemployment numbers are coming out and even I don’t have the guts to guess the market when these numbers are released.
Impounds Required:
Typically, any borrower who puts more than 20% down doesn’t have to have an impound account for Taxes and Insurance. Well that is changing, beginning June 1, 2013, all primary residences will have to have impound accounts. Not much of a change, because most people around here prefer impound accounts. Having to pay property taxes on December 20th just sucks, so I don’t think this will be a huge issue, but you need to know.
This is 1 of MANY changes that is going to happen in the coming months, stay tuned!!
City of Nampa Tree Program:
Did you know, City of Nampa, for $75, will provide a 2” caliber tree, and dig the hole, and plant the tree, and guarantee it for 1 year!
This is an AWESOME program, many years ago I too k advantage of this program and it worked out GREAT.
Find out more here: http://www.nampaparksandrecreation.org/ParksDepartment/forestryROW.aspx
Great Video:
I saw this video this week and felt it should be posted, take 4 minutes and watch it.