Florida mortgage markets remained fairly calm throughout last week’s holiday-shortened trading sessions.
After remaining fairly cornered in between Monday and Wednesday, a weak jobs report pushed mortgage rates lower moving on towards the July 4th weekend.
For the second week running, Florida mortgage rates ended the week lower than where they started – if only slightly.
We saw the expectation of improved economic growth feed the early-June 2009, mortgage rate run-up past 6 percent. Now we’re seeing Florida mortgage rates retreat by a 1/2 percent or more as these expectations begin to die down a bit.
The housing sector is still posting relatively strong numbers. However, the employment picture looks as though it may not bounce back as quickly as previously thought, and U.S. consumer confidence remains shaken.
With negative job growth and falling consumer optimism, it only makes sense that mortgage rates would fall — fewer people are working and the public feels uneasy about spending its money.
Look for Mortgage Rates to Move Lower This Week
Not much to speak of on the financial news front — so the current market momentum may continue to push rates even lower. As much as it pains me to say it – weakness in the US economy is good for mortgage rates, where a strong economy actually moves rates higher.
But Wait! (Yeah, there’s always a but…)
This week, some of the world’s largest nations may call for a replacement for the U.S. dollar as a global currency reserve.
Should this move forward, the value of the U.S. dollar could be negatively impacted, which would spell bad news for rate shoppers.
Mortgage Rate Fact: A weak U.S. dollar means higher mortgage rates.
For now, mortgage rates remain favorable, but unpredictable. If today’s rates make sense for your household budget, consider locking in. Rates won’t likely end the week at the same levels at which they started.
I hope you found this post useful! As always, if you or anyone you know is in need of a local Florida mortgage broker, I’m your guy. Call me at 863-604-3019 or apply online for your Florida mortgage. We’ll keep you posted and let you know when it’s time to pull the trigger!
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