Browsing Posts In: Interest Rates

January 5, 2017 Posted by: Lawrence Yun, PhD., Chief Economist and Senior Vice President

Mortgage rates have risen since the election of Donald Trump, from 3.5% to the recent 4.2%. Bond investors are perceiving an economic stimulus package to uplift the economy. More business activity, greater commerce, and faster job growth are certainly good news, which thereby also no longer justifies the ultra-low interest rate environment of the past […]

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June 16, 2015 Posted by: Lawrence Yun, PhD., Chief Economist and Senior Vice President

Mortgage rates have been rising and are expected to increase further over the next two years.  Home sales and home prices are generally impacted negatively if mortgage rates were the only things changing.  Fortunately, there are other economic variables along with the fact that consumers are not tapped out to the maximum in borrowing capacity […]

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May 22, 2015 Posted by: Jed Smith, Managing Director, Quantitative Research

In April 2015, more REALTORS® were confident about the outlook for all property types in the next six months than they were in March and a year ago[1], according to the April 2015 REALTORS® Confidence Index Survey. The April 2015 report is based on the responses of 2,012 REALTORS® about local market conditions in April. […]

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April 8, 2015 Posted by: Jed Smith, Managing Director, Quantitative Research

Interest rates are in the news:  Projected to rise from their historically low levels as the Federal Reserve winds down Quantitative Easing.  Is this a major problem for the prospective buyer?  The Answer: “Probably Not.” Obviously, buying a home sooner rather than later in a rising interest rate environment may be a good idea.  However, […]

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March 3, 2015 Posted by: Lawrence Yun, PhD., Chief Economist and Senior Vice President

The Almighty Dollar is showing the world who is the boss.  The dollar has strengthened against nearly all other foreign currencies in the past year.  The strong dollar is a reflection of better economic conditions and greater confidence in the U.S. versus the rest of the world.  The dollar now carries a bigger purchasing power.  […]

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January 6, 2015 Posted by: Lawrence Yun, PhD., Chief Economist and Senior Vice President

Interest rates tend to be very low when there are problems and desperations in the economy.  The economy in the meantime has moved into higher gear.  GDP is expanding robustly and jobs are coming around nicely.  But the overall interest rates continue to remain low.  In fact, the mortgage rates have been declining in the […]

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June 27, 2014 Posted by: Lawrence Yun, PhD., Chief Economist and Senior Vice President

The economy shrank big time in the first quarter.  However, there were many transitory temporary factors that passed through, which will begin to reverse in the upcoming quarters.  No recession is on the horizon.  The economic expansion, however, will not be remarkable.  Still, enough of economic juice and lagged impact on jobs assure that 2 […]

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April 9, 2012 Posted by: scott

Mortgage rates and other long-term interest rates are bound to rise measurably in the second half of this year, if not earlier.  The Federal Reserve has been aggressive in buying U.S. government bonds as part of Quantitative Easing and has tried to hold down the long-term rates with Operation Twist.  But both measures will soon […]

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March 12, 2012 Posted by: scott

Each day the Research staff takes a look at recently released economic indicators, addressing what these indicators mean for REALTORS® and their clients. Today’s update discusses mortgage rates. Mortgage rates are set to move higher.  The 10-year Treasury borrowing rate has been mostly steady but the 30-year Treasury borrowing rate has already started to move […]

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December 12, 2011 Posted by: scott

Each day the Research staff takes a look at recently released economic indicators, addressing what these indicators mean for REALTORS® and their clients. Today’s update discusses the federal deficit and interest rates. In today’s data from the Treasury Department, the federal deficit is shrinking a bit, with revenue up and spending down this November, compared […]

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