Happy Friday everyone!!!!

The weekend is finally here and the rate market is still hanging in there.  Next week we have an avalanche of treasury auctions to the tune of $150billion or so that will either hurt or help our cause.  If the auctions don’t draw solid demand from foreign and domestic investors, look for rates to inch up a bit.  If demand is solid, look to fractionally lower rates.  I don’t think we’ll be able to move down to that 4.625% level but who knows.

Have fun with your family this weekend and lets talk shop on Monday if you have mortgage needs we can help with.

Todays Rates:

30yr Fixed- 4.75% 0+1

15yr Fixed- 4.25% 0+1

FHA/VA 30yr- 4.875%

USDA 100% financing- 4.875%

Any and all questions can easily be answered over the phone or via email any time.

Sincerely,

D. Stephen Steakley, Jr.
Austin, Texas Home Loan Expert
512-577-8898 ph

UA website - Austin Texas Home Loans
Quick Application

I have been unable to blog the past week due to market changes and adapting to the new Good Faith Estimate. What seemed simple in theory has turned into a mess for lenders and home buyers/borrowers.

The trouble so far is that the new good faith estimate is so poorly designed that it tricks buyers into thinking higher costs for loans are being presented to them. The new GFE blocks most all lender fees into one section called “origination charges.” It shows this on top of listing origination fee or discount points.  Instead of adding transparency to mortgage banks this new form has turned into a nightmare for us all making borrowers and lenders shaky as they contemplate moving forward on a home loan.

What the brilliant people at the FED don’t realize in their inability to fix ANYTHING is that when they make a change like this new GFE, lenders double the time they spend with each borrower — first, explaining the new form and how odd it is compared to the plain english approach to the old GFE; second, as lenders, we are penalized for any mistakes on the estimate itself even small variances in fees that lenders have no control over such as title, transfer and some insurance fees.  As everyone knows, when you double the time an employee spends on anything, eventually, costs will go up. Why our pals up on the hill can’t figure out the basics of economics is beyond me.

As a lender, I am 100% honest with my clients and I’ve never mislead a buyer into a fee that was not valid. I can say that for almost every lender I know. I am sickened to think that we as lenders may be forced to charge more to our buyers to give them the same great service they deserve and we’ve always given.

Now that we’re getting the hang of this new set of rules I am hoping that everyone gets back into the groove of things by next week.

On a better note, I hope everyone smiled when my prediction came true regarding interest rates coming down around the 11th of January! Here is my gift to you, as rates are still great here at Urban Austin Mortgage …

Todays Rates:

30yr Fixed- 4.75% 0+1

15yr Fixed- 4.25% 0+1

FHA/VA 30yr- 4.875%

USDA 100% financing- 4.875%

Any and all questions can easily be answered over the phone or via email any time.

Sincerely,

D. Stephen Steakley, Jr.
Austin, Texas Home Loan Expert
512-577-8898 ph

UA website - Austin Texas Home Loans
Quick Application

Happy Friday, everyone!

The Labor Department reported earlier this morning that 85,000 more jobs were lost in December than were created. Revisions to prior month’s figures showed the economy actually added 4,000 jobs in November rather than losing 11,000 as was initially reported. The government’s “do-over” for October resulted in reported job losses of 127,000.

The majority of economists had projected a headline payroll loss in December of 8,000. These same economists are now blaming their wide miss on December job market conditions on the weather — pointing out two major storms blanked the Northeast and Midwest during the data survey period.

In my judgment, the fact the national jobless rate reminded at 10.0% in December is the most significant and telling element of the entire report. The detail in this morning’s report showed there were 929,000 “discouraged workers” who had given up looking for a job, up from 642,000 a year earlier. The bid “so what” factor behind all this mumbo-jumbo is significant. If these people were still actively looking for work and had been counted as unemployed in the latest survey period — the national jobless rate would have been 10.4% or higher. Since the current story from the labor sector strongly suggests employment growth will remain puny for sometime yet to come – today’s job report is supportive of steady to potentially lower mortgage interest rates.

Looking ahead to next week — Uncle Sam will take center stage from Monday to Thursday. He’ll be in the credit markets looking to borrow roughly $100 billion in the form of inflation index 10-year notes on Monday, 3-year notes on Tuesday, 10-year notes on Wednesday and 30-year bonds on Thursday. Wednesday’s 10-year notes and Thursday’s 30-year bonds will likely exert the most potential upward pressure on mortgage rates.  —Larry B

Todays Rates:

30yr Fixed- 4.75% 0+1

15yr Fixed- 4.25% 0+1

FHA/VA 30yr- 5.00%

USDA 100% financing- 5.00%

Any and all questions can easily be answered over the phone or via email any time.

Sincerely,

D. Stephen Steakley, Jr.
Austin, Texas Home Loan Expert
512-577-8898 ph

UA website - Austin Texas Home Loans
Quick Application

The New Year has begun and rates having started to trim some of the gains we saw right before the holidays.  I still predict we will see better as we approach Jan 11th but I am still very pleased the market is coming back to us a little. Nothing is ever a “sure” bet in this industry. If it was, I would be retired by now. With that said, rates are better and if you are in the process of looking for a new home or ready to refinance your current one, call me. Pre-approval is very easy contrary to what the media likes to tell you.

Todays Rates:

30yr Fixed- 4.75% 0+1

15yr Fixed- 4.25% 0+1

FHA/VA 30yr- 5.00%

USDA 100% financing- 5.00%

Any and all questions can easily be answered over the phone or via email any time.

Sincerely,

D. Stephen Steakley, Jr.
Austin, Texas Home Loan Expert
512-577-8898 ph

UA website - Austin Texas Home Loans
Quick Application

Happy almost New Year!

The market wasn’t great this week, but that is typical for this time of year. Again, let’s keep our fingers crossed for better rates come Jan 10th or so.

Buckle up tonight. Use a designated driver if needed and have lots of fun! It’s a moral imperative.

Buckling down at home? Start the new year with a mortgage consultation! By applying on my website, we can begin to examine whether a refinance can save you money. Go to urbanaustinmortgage.com today and click on APPLY NOW to get yourself in position for the next rate drop.

Cheers,

D. Stephen Steakley, Jr.
Austin, Texas Home Loan Expert
512-577-8898 ph
Austin, TX Home Loan – Quick Application