Did you know that Houston created as many jobs in
February this year as Austin in the last 12 months? There is nothing wrong with
Austin, mind you…but to put things into perspective at how large our influx of
new employees really is. The Houston-Sugarland-Baytown Metro Area led the state
in (annual) job growth, adding 118,700 new jobs, a 4.5% increase, in the 12
months ending February 2013. Many would
say (including myself) that this is one of the main reasons we are seeing low
inventory. More employees, more families need housing , and more activity for
Houston! With the abrupt stop in ‘spec’ building in 08/09, many builders only
built on an ‘as contracted’ basis. Therefore, available inventory
dwindled. The market of late has had to
depend on resale of homes to house these new Houstonians! We see builders now building specs for some
time, but its not fast enough to keep up with demand. Wow………………..It’s been crazy.
In
the markets………While it
was a rough week for the stock market, mortgage markets were very quiet. The
economic data contained no major surprises, and there was little change in
mortgage rates during the week.
The economic news this week showed that inflation
levels remain low. The most closely watched US inflation indicator revealed
that March Core CPI inflation was just 1.9% higher than one year ago. In
addition, China, the world's second largest economy, reported lower than
expected first quarter GDP growth. Declining commodity prices help keep
inflation in check. Low inflation is
always good news for mortgage rates. It is even more important right now
because the Fed has announced that its MBS and Treasury purchase program will
be scaled back or concluded if inflation is seen to be rising too rapidly. The
Fed's program has been instrumental in keeping mortgage rates low.
The economic growth
rate in the US is also very favorable for mortgage rates right now. Most signs
point to steady growth at a modest rate this year. The Fed's Beige Book,
released this week, reported moderate economic growth in most regions through
early April. The Fed's Lacker stated that he sees the economy growing at a 2.0%
annual rate this year, which is similar to the consensus view of Wall Street
economists. Modest economic growth with low inflation is the sweet spot for
mortgage rates.
Enjoy the weekend!
RATES
as of April 18th, 2013 (Up for the Week)
The following assumptions apply:
- 20% Down Payment (Conforming) / 25% Down Payment Jumbo
(Lower down payments available – call for details)
- 1% Origination Fee
- Escrows Required (if no escrow, higher fees may
apply)
- Purchase Transactions, Primary Residence (Refinances
have different rates)
- 30 day closing
- Credit Score 740 +
- Debt to income ratio <=40%
- Full Documentation of Income/Assets
|
Conforming
($200,000* - $417,000)
|
Jumbo
($417,001- $1,000,000*)
|
|
10
year (fixed) 2.500%
APR 2.612 %
|
15
year ( fixed )
3.625% APR 3.659%
|
|
15
year (fixed) 2.625%
APR 2.702%
|
30
year ( fixed ) 3.875%
APR 3.894%
|
|
30
year (fixed) 3.375%
APR 3.418%
7/1
ARM
2.500%
APR 5.101%
|
5/1
ARM
2.375%
APR 5.494%
7/1
ARM
2.875% APR 5.422%
|
|
5/1
ARM
2.500%
APR 5.636%
|
10/1
ARM
3.125%
APR 4.989%
|
|
|
|
|
FHA/VA
call for quote (max loan $270,000)
|
|
|
|
|
We do originate loans below
$200,000. These amounts are chosen to show the most favorable rates.
For other product
options or for loan amounts less than $200,000 or above $900,000 please call
for quote.
Call for details!
If you know of someone who
would appreciate my services, please contact me with their name and
number and I will be happy to help them!
Jennifer
Hernandez & Team
Kenny, Sandra,
Nancy, Jimmy, Heath, Norma, Jason, Stella & Monique
Patriot Bank
Mortgage
NMLS# 514497
Office: 713-337-8400
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