Rates have ticked up this week, mainly on the news that the Bank of England didn’t drop their Fed Rate. It was widely expected, that due to Brexit, the BoE would drop their rate from .50 to .25, to spur their economy, but that wasn’t the case.
This caused rates to pause their steadily decline over the last few weeks, and then the stock market kicked in.
US stocks rallied this week to record highs this week, and typically when the stock market rallies, the bonds/mortgage rates worsen, thus resulting in higher mortgage rates.
Mortgage rates this week came off their 7/5/2016 lows and are settling in the Mid 3’s today. Government rates are still in the low 3’s, but are seeing signs that they might also tick up to the mid 3’s.
Next week we start to get some housing numbers, should be mild week for economic numbers, so traders will focus on world numbers.
I am taking gambling off the table, I would lock rates, these numbers haven’t been seen for over 3+ years, and being greedy may cause some pain. Lock them.
Also with regards to rates, each Monday I publish an image on Facebook, but I am also going to now published it on my blog on Monday, I guess some people are not on Facebook??? Really?? It is a good item to repost on your blog, Facebook, Google+ or Twitter account. See the 7/8 blog post of sample, link here.
Housing Bubble in Idaho & Boise.
There has been quite a bit of conservation about home prices in Idaho and specifically in the Boise/Treasure Valley market, are we heading for a bubble?
Don’t think so, I found a pretty good video that shows what to look for:
But I think what the Idaho & Boise market needs to really focus on is employment and where the jobs are. Today we head that Micron laid off some people, and according to KTVB.com, it was probably <100, because if it was 100+ they would of told the Labor Department, and they haven’t.
We also have Albertson’s revamping and bringing in new jobs, along with new companies coming into Nampa and Caldwell. So employment in the area is looking pretty good.