Hillsboro Office 217-532-2525 | Litchfield Office 217-324-4663

Central IL Homes for SaleCentral IL Homes for Sale

  • Home
  • Search
    • Advanced Search
    • Hot Property Alerts
    • Map Search
    • Upcoming Auctions
    • Address Search
    • Trending Searches
    • My Account
  • Featured
    • Our Featured Properties
    • Our Featured Auctions
    • Open Houses
    • Virtual Tours
    • Current Solds
    • Schools
  • Areas
    • Hillsboro
    • Litchfield
    • Coffeen
    • Witt
    • Nokomis
    • Taylor Springs
    • Irving
    • Panama
    • Donnellson
    • Raymond
    • See All
  • Buy
    • Mortgage Calculator
    • Home Buyer Checklist
    • Local Links
    • Resources
  • Sell
    • What’s Your Home Worth?
    • Selling your Home at Auction
    • Seller Tips and Tools
    • Marketing Your Home
  • Rent
    • View all Rentals
    • Landlord List
  • Auctions
    • Upcoming Auctions
    • Selling your Home at Auction
    • Find out More!
  • Appraisals
  • Contact
    • Contact
    • Agents
    • Client Reviews
    • Blog

What’s Ahead For Mortgage Rates This Week – June 22, 2015

What's Ahead For Mortgage Rates This Week - June 22, 2015Last week’s economic news included National Association of Home Builders / Wells Fargo (NAHB) Housing Market Index and Commerce Department reports on Housing Starts and Building Permits, the post-meeting statement of the Fed’s Federal Open Market Committee (FOMC), and Fed Chair Janet Yellen’s scheduled press conference.

NAHB: Home Builder Confidence Hits 9 Month High

Home builder confidence in housing market conditions is growing in spite of a planned merger between two builders and related cost-cutting efforts. According to the NAHB’s the home builder index posted a reading of 59 in June as compared to an expected reading of 55 and May’s reading of 54. Any reading over 50 indicates that more builders are confident about housing markets than those who are not. June’s reading was the 12th consecutive month for readings above 50.

The NAHB index is composed of three assessments of market conditions. The reading for current market conditions was seven points higher at 65; builder confidence in current market conditions rose by 6 points for a reading of 69 and the reading for buyer traffic in new single-family housing developments rose five points to a reading of 44.

Regional results for builder confidence were also positive, with three of four regions posting gains in the three-month rolling average of builder confidence. The South posted a gain of three points to a reading of 60; the Northeast region also gained three points for a reading of 44. The West gained two points for a reading of 57 and the Midwest’s reading dropped by one point to 54.

Housing Starts Drop, Building Permits Increase

According to the Commerce Department, Housing starts fell in May while building permits rose. The reading of 1.04 million housing starts was lower than the expected number of 1.08 million starts and April’s reading of 1.17 million housing starts. Analysts note that apartment construction is heating up as fewer families are buying homes. Tight lending standards and concerns about stable job markets continue to keep would-be home buyers from buying homes.

Building permits in May rose from April’s reading of 1.14 million to 1.28 million permits issued. This report includes all types of building permits. David Crowe, chief economist for the National Association of Home Builders noted that the demand for rental units in large metro areas was fueling the pace of permits for multi-family housing.

Fed: No Date Set for Rate Hike; Analysts Predict Rate to Rise in Fall

The Federal Reserve’s FOMC statement and Fed Chair Janet Yellen’s press conference did not provide a date for raising the target federal funds rate, but suggested that most members approved of a rate hike before year-end. While Chair Yellen characterized a rate hike as positive in terms of providing better yields on savings accounts, a rate hike would also lead to higher rates for consumer loans and mortgages.

Mortgage Rates, Jobless Claims Lower

Weekly jobless claims fell to 267,000 new claims filed, a reading much lower than expectations of 275,000 new claims filed and the prior week’s reading of 279,000 new jobless claims filed. Analysts said that the lower reading indicates a healthier labor market.

Mortgage rates fell across the board last week. Freddie Mac reported that the average rate for a 30-year fixed rate mortgage fell by four basis points to 4.00 percent; the average rate for a 15-year fixed rate mortgage fell by two basis points to 3.23 percent and the average rate for a 5/1 adjustable rate mortgage dropped one basis point to an average rate of 3.01 percent. Average discount points were 0.70 percent for a 30-year fixed rate mortgage, 0.50 percent for a 15 year mortgage and 0.04 percent for a 5/1 adjustable rate mortgage.

What’s Ahead

This week’s scheduled economic news includes reports on new and existing home sales and FHFA’s monthly home price report. Reports on consumer spending and consumer sentiment will also be released along with Freddie Mac’s mortgage rates survey and weekly jobless claims.

Posted in: Blog Tagged: Commerce Department, FOMC, NAHB

Search Smarter

Did you know the hottest homes for sale in Hillsboro often sell within days of being listed? Don’t miss out! Set up your own custom property alert so you can be notified of the newest homes as they hit the market! Simply click the button below and choose the qualities that you want most in a home and save your search to start getting alerts today!

New Property Alerts

As local Hillsboro Real Estate Agents we also have access to homes before they hit the market and can show you more homes and information that are only accessible in the MLS. If you would like to set up a time to go over your real estate needs, please free to contact us at your convenience. There is no obligation and or pressure… we hope to hear from you!

Post navigation

« Safety Tips: 5 Ways to Prepare for a House Fire – and What to Do if One Breaks Out
Summer Staging: How to Stage Your Home to Appeal to Young Families »

Contact Us Now



(217) 532-2525 Hillsboro Office
(217) 324-4663 Litchfield Office

info@mcrealty.net
Hillsboro Office

551 S. Main St.
Hillsboro, IL 62049

Litchfield Office

410 N Monroe St.,
Suite 100
Litchfield, IL 62056

Hillsboro Company License #478.025162
Litchfield Company License #477.012410

Follow Us Now!


Quick Search Tools

  • Easy Search
  • Advanced Search
  • Address Search
  • Upcoming Auctions
  • Home Valuation
  • Map Search
  • My Account
  • Listing ID Search
  • Contact

Chat with us Now!

Click here to visit our Facebook page to chat with us now!

© 2023 · MCR Realty Professionals, Inc. · 217-532-2525 Hillsboro Office · 217-324-4663 Litchfield Office · MCR Agent Office · Agent IDX Login · Sitemap · IDX Sitemap · IDX Sitemap · Privacy Policy · Terms of Service · Hillsboro IL Homes for Sale
Disclaimer - All Rights Reserved by MCR Realty Professionals, Inc.

AREAS WE COVER:

62049, 62089, 62056, 62017, 62075, 62094
Hillsboro, Litchfield, Coffeen, Nokomis, Witt

Log in · Real Estate Websites by Real Estate Websites by YourSiteNeedsMe.com