Financing Homes in Lake Tahoe and Truckee since 1992.

Lake Tahoe Mortgage Rate Trends-September 22, 2014

Monday’s bond market has opened in positive territory with stocks starting the week in negative ground and today’s only economic data showing favorable results. The major stock indexes are showing moderate losses with the Dow down 64 points and the Nasdaq down 53 points. The bond market is currently up 4/32 (2.56%), which with strength late Friday should improve this morning’s mortgage rates by approximately .250 of a discount point over Friday’s morning pricing.

Unlike many Mondays, we did have some economic data to digest this morning. The National Association of Realtors posted August’s Existing Home Sales report at 10:00 AM ET today. It showed a 1.8% decline in home resales last month, falling a little short of expectations. This means that the housing sector was a bit softer than many had thought, making the data slightly favorable for the bond and mortgage markets.

The rest of the week brings us the release of four more relevant economic reports for the bond market to digest in addition to two potentially influential Treasury auctions, none of which are scheduled for tomorrow. Most of the reports are considered to be of moderate to fairly high importance to the markets, so they do have the potential to affect mortgage rates although I am expecting to see less volatility in the financial and mortgage markets than we saw last week.

Overall, I don’t see an obvious choice for key day of the week but Thursday has the single most important data of the five. Friday has two reports scheduled so it deserves some consideration also. The least important day looks to be tomorrow with nothing of relevance scheduled. I suspect we will see changes in mortgage rates multiple days this week, but in small increments rather than sizable moves.