Posts Tagged ‘utah mortgage rates’

Market: Apparently the world bond markets like it when I go out of town, because we got a sharp rally Thursday, followed it with a solid day Friday, and we’re up another 70 bps this morning.  For those just joining us, that means rates are falling.  We’ve not reached the levels we were at two weeks ago, but we pegged back all of the loss since.  That makes the 30-year at about 5.25% for a conventional and fairly similar for an FHA.  AS ALWAYS, your specific situation will make those numbers rise or fall.

Analysis: Well, not so fast.  The “recovery” (which those of you that follow us closely know we have never believed in) has not been overly juicy, and today’s manufacturing numbers were even worse than forecast.  The Obama Administration continues to blame the economy they inherited for the bad employment numbers we’re seeing, and still defend the stimulus package as necessary to keep things from getting worse.  I’m not sold on that, but I am a pragmatist – this is what we have, so let’s deal with it.  I don’t expect that the economy will roar back – that’s some time off, and very tenuous at best – but I also don’t think things are going to get (visibly) much worse in the near future.  We should be okay through the summer.

Assuming we have summer.  Utah is basically stuck in April.

P.S. For those that like to see the little guy make good, I address you to Zillow’s Mortgages Unzipped blog, where they have a new columnist.  You might know the fellow.

Market: Still a drift downwards, but that drift has abated some and there appears not to be any strong force pushing bonds lower. The S&P continues to be unable to break through the 944 level, and there is bad economic news on the way, according to many sources. Add Fed buying to the mix, and we could see rates move a bit lower over the next month or so.

Analysis: Comment out of John Hancock is that bad economic news coupled with the expected Fed announcement on June 23rd of increased Fed buying of bonds will cause rates on mortgages to move lower in the 3rd quarter. Here’s hoping. It is true that the subprime loan resets are mostly behind us now, which is causing the market to stabilize, but it is also true that the resets in Option ARMs are mostly still ahead of us, and those have a much larger capital volume than what we’ve gone through so far. Some are predicting another two yeras before the clouds begin to break in financial markets.

Personally, I think if you are prepared you shall not fear. Let us all get prepared then, shall we?

These are all bank approved prices of foreclosures, no waiting to see if the bank accepts the offer!!!  All are in average to above average condition as well and all were built in the past 5 years!

10 best buys- May 27 2009

1. North east Lehi 1600 sq ft, Originally sold for $225k- bank approved price for $158k

2. North west Orem, 2778 sq ft, exact same model sold in Dec 2008 for $205k, bank approved price of $165,000

3. North East Eagle Mtn, 3030 sq ft townhouse, brand new, bank approved at $180,000, that’s $60 per sq ft

4. Ivory Ridge, Lehi, 2397 sq ft townhouse, same exact model under contract right now for $245k, bank approved at $185,000

5. South west Saratoga, 3900 sq ft, bank approved price $245,000, similar house four houses down sold last June for $370,000

6. North East Eagle mtn, 5894 sq ft, House on same street sold last August for $340k, bank approved $284,000

7. South West Bluffdale, 5000+ sq ft, was once under contract for $700k, bank approved price $349,000

8. South west Herriman, 6800+ sq ft, house 1000 sq ft smaller on street sold for $522,000 within last year, bank approved price of $350,000-This is the steal of the week!!!!!!

9. North East Provo, 6200 + sq ft, house on same street only 600 sq ft bigger currently listed at $995,000, bank approved price $425,000!

10. Pepperwood house, 6600 sq ft, half acre, bank approved price of $579,000

11. Southwest Riverton, 6700+ sq ft, fully decked out, originally appraised for $1.8 million, bank approved price of $975,000

Call to get more info on these or other great properties! These are all bank approved prices of foreclosures, no waiting to see if the bank accepts the offer!!!