Financing Homes in Lake Tahoe and Truckee since 1992.

Lake Tahoe Mortgage Rate Trends- April 18, 2016

Monday’s bond market has opened in negative territory despite a calm open in stocks and no relevant economic news. The major stock indexes are mixed at the moment with the Dow up 13 points and the Nasdaq down 6 points. The bond market is currently down 6/32 (1.77%), but due to a little strength in trading late Friday, we should see this morning’s mortgage rates nearly unchanged.

There is nothing scheduled for release today that is expected to influence mortgage rates. In fact, the rest of the week has only three pieces of monthly economic data that have the potential to influence mortgage rates, none of which are considered to be key or highly important reports. All of them are set to be posted the middle days, so we could see the most movement in rates mid-week. We also need to watch stocks since we are still in corporate earnings season. There is nothing of importance scheduled for tomorrow, meaning we can look towards stocks to help determine bond and mortgage rate direction.

March’s Housing Starts will start the week’s releases early tomorrow morning. This report tracks groundbreakings of new home construction, giving us a measurement of housing sector strength and future demand for mortgage credit. It is not considered to be highly important to the markets but does draw enough attention to influence trading if it reveals surprisingly strong or weak numbers. The report will be posted at 8:30 AM ET and is expected to show a small decline in starts from February to March. Good news for mortgage rates would be a sizable decline in starts that points toward housing sector weakness.

Overall, there is nothing scheduled this week that is expected to create much volatility or be a market mover. Chances are decent that we will see a fairly calm week for mortgage rates unless stocks make a significant move or something unexpected happens. I don’t see any particular day as a good candidate for most important of the week. Still, despite the lack of key economic data, it would still be prudent to maintain contact with your mortgage professional if floating an interest rate and market conditions can change at any time.