ABBA First Mortgage, Inc. - Wilmington, NC

Rates tending to move down

March 31st, 2015

Rates on home loans moved lower again in the past week, as the markets continued to react positively to a more dovish message from the Federal Reserve Board.  Freddie Mac announced that for the week ending March 26, 30-year fixed rates decreased to below 3.78% from the week before.  The average for 15-year loans fell to below 3.0%.  A year ago, 30-year fixed rates were at 4.40%, which continues to be more than 0.50% higher than today’s levels.  ABBA First leads the mortgage industry with competitive rates, low closing costs and outstanding service.  Call today for your free, no obligation quote and see how we can save you money

Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.

Good, better, best? Steady for sure.

March 23rd, 2015

The Bond markets saw Treasury bonds rally after the Fed statement of unchanged short term interest rates (which affects the prime rate). However, the Central Bank made clear that it is in no rush to tighten monetary policy. Treasury debt rallied strongly, pushing the yield on the 10-year Treasury note well below 2.00 percent. Investors and market watchers noted that the Fed’s newly released projections for economic growth and inflation were both lower than the Central Bank’s forecasts from December, likely justifying a slower trajectory of rate increases.  Since then, mortgage interest rates have held steady after the worsening from Thursday which gave back much of the improvements up to that point.  Going forward, we hope to see additional improvement, but that is not likely unless there is major global unrest and/or disappointing economic data this week.  Although these are typical triggers to bettering our mortgage interest rates, the reasoning is not limited to these two catalysts of change.  We will keep updating this news site as changes take place.

Looking back over this past week

March 20th, 2015

The mortgage industry is so demanding.  Mortgage rates are so fickle.  But time marches on and we are still living in an era where the rates are amongst the lowest in recorded mortgage history.  This past week was more of the same roller coaster ride but it ended with rates slightly improving.  The key words are “slightly improving”.  No big dips in mortgage rates but there are signs indicating continued improvement.  Fed chairperson, Janet Yellen, spoke on Wednesday and addressed our economy with the Federal Reserve Board.  In my estimation, although the economy is NOT showing signs of worsening, it is also not improving as fast as we may like it to.  Because of this, the Feds are not likely to raise the short term interest rate any time soon and we have a reprieve until sometime in the future.

Look for rates to improve slightly today

March 12th, 2015

For the month of February, Retail Sales were lower than anticipated.  This is the third straight month of dissapointing Retail Sales; clearly the lower gas prices are not stimulating our economy if consumers aren’t spending more. Overall this is positive for MBS (Mortgage Backed Securities) which in turn leads to lower mortgage interest rates.  Keep an eye on our rates today as ABBA First will be leading the charge in our industry with better than market rates for better than market people.

On the other hand, interest rates improved for third straight day

March 11th, 2015

Ok.  This is a new week and the seesaw has moved and has allowed rates to improve for the third day in a row.  We cheer for the improvement!  But in actuality, the three days put together barely make up for the one day of deterioration that took place last Friday.  So we have reason to be happy, but not too happy, for we are traveling on the same path that we have trod on before.  These changes for the better in mortgage interest rates will last until…ummm…tonight, as we are subjected to what the market has in store for us tomorrow when rates are republished in the latter part of the morning.  Until then you may want to set the able and have your application ready to be pre-approved which, through ABBA First Mortgage, allows us to be ready to lock in your rate and terms at a moment’s notice.  Go to: www.abbafirst.com and apply online today!

Rates moving up

March 6th, 2015

Today’s stronger than expected jobs report was great news for the economy, but it was negative for mortgage rates. As a result, mortgage rates went up today and ended the week higher.  This slight worsening is noted in mortgage interest rates across the board.  As a result of this positive economic news, the converse is typical when examining long term interest rates.  If the rates do not rebound as we have seen with the previous ups and downs, it may be time to lock in your rate prior to the obvious alternative of a higher rate.

Summary of the markets affecting interest rates

March 3rd, 2015

 

  • Fixed rates rose again in the past week, however they showed signs of leveling off.
  • Freddie Mac announced that for the week ending February 25, 30-year fixed rates increased to 3.80% from 3.76% the week before.
  • The average for 15-year loans rose slightly to 3.07%.
  • Adjustables were mixed, with the average for one-year adjustables down slightly to 2.44% and five-year rising to 2.99%.
  • A year ago, 30-year fixed rates were at 4.37%, which continues to be more than 0.50% higher than today’s levels.
  • Attributed to Len Kiefer, deputy chief economist, Freddie Mac — “Rates on home loans rose for the third consecutive week in February following solid housing data. New home sales beat market expectations at an annual pace of 481,000 units, down slightly from 482,000 units in December, but up 5.3 percent from a year ago. Also, the S&P/Case-Shiller National House Price Index rose 4.6 percent over the 12-months ending in December 2014.”

Another rocky week

February 27th, 2015

The waves of interest rate volatility continued this past week.  What contributed to these ups and downs of the mortgage market place?  Was there any new specific data that one can point a finger at and say that it was all because of that?  No.  It was just more of the same global unrest (the European-Greece situation) and Janet Yellen of the Federal Reserve Board telling us that the Feds are inclined not to raise the short term interest rate until September of this year.  How investors reacted to this news is why we see the see saw movement of mortgage rates and cannot determine if rates are expected to go up or decline.  Stay posted while checking the rates through ABBA First Mortgage.

After 2 weeks of rates worsening…

February 24th, 2015

Many economists and mortgage gurus have this one thing in common- they use historical data and present day circumstances to predict what they believe the future holds for long term mortgage interest rates.  One such analyst predicted about 2 weeks ago that mortgage rates are poised to drop to (possibly) the lowest of the lows that this country has ever seen.  That rhetoric is what many representatives of the mortgage industry have been watching for.  However, this betterment is based upon a domino effect which includes, but is not limited to, global unrest, wars and rumors of war, improving oil prices, national strife, unemployment, housing starts, consumer sentiment, etc.  So we wait, but in the meantime, we see our rates have moved up slightly as we lost ~250 bps in the last couple of weeks.  Can rates improve?  I do believe that possibility exists.  Today is an indication of rates improving slightly.  With rates being amongst the lowest that this industry has ever seen in the last 60 years, I strongly suggest monitoring the rates with me, but locking in at a rate that you KNOW will be beneficial to you and your needs.  If they drop significantly, ABBA First offers a no-cost-to-you-refinance as part of our Loyalty Retention Program.  Call us for a quote as we hope to earn your business and your trust-for a lifetime!

Rates rising slowly

February 17th, 2015

The Markets

  • Fixed rates on home loans rose in the past week in the aftermath of the strong jobs report.
  • Freddie Mac announced that for the week ending February 12, 30-year fixed rates increased to 3.69% from 3.59% the week before.
  • The average for 15-year loans rose to 2.99%.
  • Adjustable rates were also higher, with the average for one-year ARMs up slightly to 2.42% and five-year ARMs increasing to 2.97%.
  • A year ago, 30-year fixed rates were at 4.28%, which continues to be more than 0.50% higher than today’s levels.
  • Attributed to Frank Nothaft, vice president and chief economist, Freddie Mac — “Rates on home loans rose this week following strong economic data. The economy added 257,000 new jobs in January after robust increases of 329,000 in December and 423,000 in November. The unemployment rate edged up to 5.7 percent last month from 5.6 percent in December. Average hourly earnings rose 0.5 percent, following a 0.2 percent decline in December.”

Rates indicated do not include fees and points and are provided for evidence of trends only. They should not be used for comparison purposes.

Toll Free: 866.676.3349

Local: 910.332.0650

Fax: 910.332.0654