Rates
Well rates this week found a pretty stable channel to trade in, typical for a holiday week. But the channel was quite wide, with rates swinging by .125 a couple of times this week.
When everything settled down, we were flat to slightly up for the week.
Rates should of spiked this week with all of the GREAT economic news, but the great Greece Collapse ooled it off a little, as expected.
Some US numbers first:
-Case Shiller home price index 4.9% vs est. of 5.6%, showing a cooling of home prices, as expected, with wages not increasing less and less people are able to afford homes.
-Consumer Confident 101.4 vs est. 97.5, HUGE number, and if it wasn’t for Greece, this would of caused rates to go higher. Consumers are pretty happy about the economy right now!
-ADP private payroll 237,000 private jobs vs est. of 220,000.
-Biggie for the week and month, Unemployment 223,000 new jobs vs est. of 230,000, close enough, but…
-May and April was revised down by 60,000
-Average hourly wages 0.0% vs est. of 0.2%
All these numbers were really good, but the unemployment numbers had some hidden issues, like there were more part time employees than full time employees hired, and the hourly wage didn’t increase. This might cause the Fed to rethink the rate increase in September, but we still have 3 more unemployment numbers to come out before September. Something to watch.
Now on to Greece, it is just a mess, Greece already defaulted on 1.6Billion Euro it owes the International Monterey Fund, and there is an election on Sunday asking Greeks to approve or not approve EU’s bail out requirements.
The feeling is Greece will BK Monday, so next week we will get some volatility as markets digest this, and then markets will start to focus on the US economy and rates will again continue to go back on their pace towards 5% by end of year.
Lock them, no question, US economy is doing too good right now and word is that a Greece isn’t going to have that much affect on the US.
Fee increases
Lots of fees are going up, the new government regulations going into affect is really causing lots of expense, and although many companies have absorbed it, it looks like more can’t absorbed much more so lets get a run down on latest changed:
Title companies increased their minimum closing fee from $680 to $730.
Title companies are now charging $25 for closing protection letters.
IHA increased their underwriting fee from $199 to $399
Appraisers have been charging around $25.00 extra on appraisal.
Verification of employment services have increase their fees, roughly 10%
We hear through the grape vine, that title insurance fees are going to go up.
Gas went up .07 on Wednesday.
Credit report fees went up last month.
Government Regulation cost us ALL!
CD and LE disclosures
If you haven’t heard by now, the CFPB has delayed the requirement to use the new Closing Disclosure and Loan Estimator until October 3rd.
Reason for the delay…too funny…
The CFPB did disclose to Congress with in 60 days, that they were going to change the rule. They have been working on this since 2010, and you would think someone would of realized that Congress had to know..but no the people making up all the require disclosures, forgot to DISCLOSE!!!!
Don’t forget, sign up for my AWESOME CE class, link below, already did 1 class and it went AWESOME!
Link Here: http://idahorealestateschool.com/shop/closing-disclosure-and-loan-estimator-the-new-gfetilhud-1-for-2015-and-beyond/
Lots of Supreme Court Rulings
One of the biggest ones was on Gay Marriage, so don’t forget to update your purchase and sales agreement if 2 individual are married, Husband and Husband and Wife and Wife. Consult your Broker on how to properly write up the purchase and sales agreement.
Lead Generator
How is your web site doing? Do you have a web site?
If not, there are other realtors out there with AWESOME web site who are attaching buyers and sellers every second.
Is your web site HTML 5, i.e. can it be seen on mobile devices? Almost 75% of my web site traffic comes from mobile devices.
Take some of that money you just earned from your last commission, and instead of giving it to the IRS, spend it on your web site!!!