Bond Market Update

 Mortgage pricing is better than it was yesterday

Source: Thomson Reuters

Market Update

Friday, December 18, 2015

What's going on and why does it matter?Mortgage bond prices have rebounded on indications that the Federal Reserve is likely to continue its bond-buying program throughout 2016.  The Fed has been the biggest buyer of mortgage bonds in the market, so mortgage pricing has improved slightly on the news.  Bond prices are near their technical levels of resistance, so the uptick in bond prices may be short-lived.  All-in-all, it should be a relatively quiet day in the markets today.

What should you do about it?
Enjoy the uptick in bond prices, but be prepared to lock your rate if the market changes directions.

Economic Calendar

Economic reports that may impact mortgage rates this week:

Date	Report	Period	Prior	Estimate	Actual
Tue 15 Dec	Core CPI	Nov	+0.20%	+0.20%	+0.20%
Wed 16 Dec	Building Permits	Nov	1,150,000	1,150,000	1,289,000
Wed 16 Dec	Housing Starts	Nov	1,062,000	1,135,000	1,173,000
Wed 16 Dec	Fed Funds Rate	-	0.125%	0.375%	0.375%
Thu 17 Dec	Initial Jobless Claims	Week of Dec 13	282,000	275,000	271,000

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Jay Sibley
NMLS Number: 383991
Sibley Mortgage Group, LLC
Corporate NMLS Number: 1041547
jay@sibleymortgage.com

(321) 689-0089
919 Timber Isle Dr
Orlando, Florida 32828

  

Three Reasons to Buy a Home this Winter

Three Reasons to Buy a Home this Winter

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The winter can be a fantastic time to buy a home because:

1. Sellers tend to lower their list price in the winter.  Most sellers who weren't able to sell their home in the summer become more willing to accept an offer below list price during the winter.  After all, the alternative for the seller is to wait until next spring or summer to sell the house.  In the meantime, he/she would have to pay the mortgage, property taxes and utilities.  
2. You are competing with fewer buyers.  One main reason why most buyers wait until the spring or summer to buy a house is because they don't want to move their children to a new school district in the middle of the school year.  However, this shouldn't be a limiting factor for you if you don't have children, or if your children are too young (or old) to go to school.
3. You are positioning yourself to benefit from price increases next spring and summer.  The spring and summer homebuying season is when most people buy houses.  Therefore, if you get a good deal on the purchase of your home this winter, you'll likely benefit when prices go up in the spring/summer.  This sure beats getting stuck on the losing end of a bidding war or price increase!

Contact me so that we can further explore how you may benefit by buying a home this winter.