ARAMCO Report - The Mother of ALL Mortgage Blogs!

ARAMCO Report - Wednesday May 27, 2015

Posted by The Aramco Group on Wed, May 27, 2015 @ 22:05 PM

Consumer confidence grows and home prices still on the rise

Consumers revised their assessment of the economy, and were optimistic in May despite their dimmer view in April. According to the Conference Board, a private research group, households had expressed better attitudes towards current economic conditions, but the same group still had mixed views about the economy’s current labor markets in May.

Confidence measured in May might have rolled over from increased demand for new homes in April. Sales of new single-family houses were up 26.1 percent in April 2015 compared to sales figures from April 2014. The Census Bureau estimates that the seasonally adjusted annual sales rate increased to 517,000 even though it had momentarily dropped down to 481,000 in March.

Prices for existing homes in San Diego continued to appreciate steadily in March According to the S&P Case Shiller Price Index released 5/26/15. The index measured that single family-home prices in the resale market were selling for about 4.8 percent more, on average, than they were 12 months before.

People looking to purchase a home or refinance their mortgage will find that conforming no point 30-year mortgage rates average 3.875 percent while 15-year rates average 3.125 percent.

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

Topics: home sales, home prices, The Conference Board, Consumer Confidence Index, 30 year fixed rates, consumer confidence

ARAMCO Report Friday April 17, 2015

Posted by The Aramco Group on Fri, Apr 17, 2015 @ 15:04 PM

Consumer optimism rebounded in early April according to the preliminary findings in the University of Michigan’s April Sentiment Index. Index scores increased to 95.9 from 93.0 at the end of March. The current consumer optimism score is the second highest reading since 2007, and the average score during the last five months has been higher than anytime since may 2004. Multi-month trends like that are more important than one-month spikes.

Meanwhile, Fannie Mae and Freddie Mac will make a controversial move Friday by directing lenders to cut mortgage fees for riskier borrowers. This is an attempt to open up credit to otherwise qualified borrowers that can make monthly payments, but that need assistance affording initial fees. The agencies will attempt to make it revenue neutral by raising fees on some borrowers, such as those borrowing for investment properties. While advocated by some, this may yet upset some politicians that do not wish to subvert incentives on creditworthiness.

Conforming no point 30-year fixed rates averaged 3.75 percent on Friday while 15-year rates averaged 3.0 percent. 

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

Ask Mehran Aram

Topics: Consumer Confidence Index, 30 year fixed rates, Fannie Mae, Freddie Mac, University of Michigan, consumer confidence

ARAMCO Report - Tuesday March 31, 2015

Posted by The Aramco Group on Wed, Apr 1, 2015 @ 15:04 PM

The Consumer Confidence Index (CCI) increased in March according to The Conference Board. It indicates that Q1 2015’s dramatic economic slowdown is probably a blip. The rejuvenated labor market and increasing home prices were the two largest contributors to consumers’ returning confidence. The index jumped 2.5 points to 101.3 from 98.8, defying previous projections that it would drop to around 96. Those numbers are benchmarked to the consumer confidence in 1985. That year was neither a peak nor a trough and has a score of 100. The Federal Reserve consults the CCI and today’s news fits with the Fed’s plan to gradually increase rates later this year. RealtyTrac announced today that wages are not keeping up with home prices however. Appreciation outpaced wage growth in 76 percent of the metro areas tracked (140 our of 184) which underlines that consumer confidence and the economy on the whole are getting better but are not yet fully healed.

Meanwhile conforming no point 30 year fixed mortgage rates average 3.75 percent with 15-year rates closer to 3 percent.

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

Ask Mehran Aram

 

Topics: home prices, CCI, The Conference Board, Consumer Confidence Index, 30 year fixed rates, Wages, Appreciation