Mortgage Market Update 9-28-20

Last week, Congress fourth stimulus plan was being discussed in Washington, and there will be a specific aid plan soon. Fed Chairman Powell and Treasury Secretary Mnuchin this week called on Congress to agree on a plan to stimulate the economy and stabilize the current economic recovery, hoping that an agreement can be reached at an early date.After the market turmoil last week, the prices of mortgage bonds and U.S. Treasury bonds were flat or slightly higher, and the 10-year Treasury bond yield remained at 0.66%. Uncertainty about the stimulus plan has risen, causing mortgage bonds to sell off again.The Federal Reserve continues to purchase mortgage bonds to maintain market demand. As the support of mortgage bonds continues, consider focusing on and locking in interest rates this week. And after October 1st, most banks will start to charge a 0.5% service fee of the loan amount for refinance, so locking in this week is very important.

Economic Calendar

Report

Period

Estimate

Impact

Date: Tue. Sep 29

S&P/Case-Shiller Home Price Index	Jul	3.8%	Moderate
Consumer Confidence	Sep	90.0	Moderate

Date: Wed. Sep 30

Pending Home Sales	Aug	3.0%	Moderate
Gross Domestic Product (GDP)	Q2	-31.7%	High
GDP Chain Deflator	Q2	1.4%	High
Chicago PMI	Sep	52.0	Moderate
ADP National Employment Report	Sep	600K	High

Date: Thu. Oct 1

Personal Spending	Sep	0.7%	Moderate
Jobless Claims (Initial)	9/26	850K	Moderate
Personal Consumption Expenditures and Core PCE	Sep	0.3%	High
ISM index	Sep	56.0	High
Personal Consumption Expenditures and Core PCE	YOY	1.2%	High
Personal Income	AUG	0.1%	Moderate

Date: Fri. Oct 2

Non-farm Payrolls	Sep	875K	High
Consumer Sentiment Index (UoM)	Sep	72.8	Moderate
Unemployment Rate	Sep	8.3%	High
Average Work Week	Sep	34.6	High
Hourly Earnings	Sep	0.2%	High

Today’s Rate

Sep 25, 2020

Conforming Loan
Loan Term (Yr)	Rate (%)	APR (%)
30yr Fixed	2.500%	2.567% APR
15yr Fixed	2.125%	2.192% APR

High Balance Loan
Loan Term (Yr)	Rate (%)	APR (%)
30yr Fixed	2.500%	2.567% APR
15yr Fixed	2.250%	2.317% APR

Jumbo Loan
Loan Term (Yr)	Rate (%)	APR (%)
30yr Fixed	3.000%	3.067% APR
15yr Fixed	2.750%	2.817% APR

Daily rate based on: SFR/Primay/LTV60/FICO 780/Purchase

IMPORTANT: Advertised rates were valid and effective as of the date reflected above, are for informational purposes only, and are subject to change without notice.Loans are subject to credit and collateral approval. Advertised rates are based on a set of loan assumptions including a borrower with excellent credit history and optimal loan characteristics. Your final interest rate and annual percentage rate (APR) may differ depending on your individual transaction’s specific characteristics, and certain products may not be available for your situation. Several determining factors include, but are not limited to, the state of the property location, loan amount, documentation type, loan type, occupancy type, property type, loan to value, and credit score.APR reflects the cost of credit over the term of the loan expressed as an annual rate. For mortgage loans, APR may include the interest rate, discount points (also referred to as “points”), and other charges or fees (such as mortgage insurance and origination fees), but does not necessarily take into account other loan-specific finance charges you may be required to pay.