Mortgage Rates Remain Near 2017 Lows

Mortgage rates have not changed much during since the middle of last week, and it seems like all I am doing is reiterating the same comments to everyone during this time.  All I can say – there has been nothing happening in terms of the markets during this timeframe. Any detectable difference in today's rate quotes versus previous days would come in the form of slightly lower upfront costs versus yesterday.  This sideways trend could easily continue for several more days.

The Senate unleashed its health care draft, Paul Ryan (House Speaker) said it looked like ObamaCare. The fate of a Senate proposal to replace Obamacare was immediately thrown into question by a statement from Senator Rand Paul and three other conservative Republicans, who said they are "not ready to vote" for it.

Tomorrow May new home sales at 9:00AM.  Yesterday existing home sales were expected down, but were up.  The better existing sales have the whisper number higher for new home sales. There is nothing new in the housing sector, prices increasing on a national basis but inventory remains very low.

Financial media talking about crude today because for the first time in days the price is higher (by $0.20). Talk now is the new Saudi Crown Prince will try to push prices higher – sounds like the Fed Presidents when they talk – blah, blah, blah - love those chatter boxes that get media attention. Like pushing on a wet noodle now.  There is no reason to believe what if anything the Crown Price has in mind other than bringing the country more into the modern world.

In summary, the absence of change continues to be a good thing given that rates remain very close to their lowest levels in more than 8 months.  Only a handful of recent days have been any better.  Being stuck near 2017's lowest rates is a good thing.  Hopefully we will see some month end demand next week (improving pricing).  Currently, I am not in a big hurry to lock new loans closing in August, prefer to wait until we can do shorter lock periods – but borrowers with July closings may want to lock now and relax.