Here Comes The Sun
Sun Quote of the Day: “Truth is like the sun. You can shut it out for a time, but it ain’t goin’ away.” – Elvis Presley
The only thing keeping rates this low is the Fed purchasing their $40 billion monthly of mortgage backed securities. That’s right – $40 billion a month! I will no longer yell at my wife for spending too much. All the reports released daily point to an economic recovery, which is good for the economy/bad for rates, and maybe a sign the Fed should end this spending party.
What’s going on this week that can impact rates, you ask? Today we’ve got a 10-year Treasury Note Auction (these make excellent Christmas gifts). A strong demand for these will lead to lower rates. Tomorrow we’ve got Weekly Jobless Claims (expected number: 369k). Higher claims will lead to lower rates.
Interest rates remain beautiful, Mortgage Fans. 30-year fixed rates are in the low-to-mid 3s with ARM rates about a point lower. Don’t forget to tell anyone who voted, anyone who didn’t vote, and anyone that lied and said they voted that for every purchase or refinance loan over $240k I will waive all lender fees (a $1,295 savings!!).
Sun Quote of the Day 2: “Looking at cleavage is like looking at the sun. You don’t stare at it, it’s too risky. Ya get a sense of it and then you look away.” – (Jerry to George, Seinfeld, 1991)
Timeout for Trivia: Congrats to those who guessed Henry Winkler last week. Want to be entered into a drawing to win a bottle of Old Spice aftershave? (this prize helped me get the two hottest girls in 7th grade to go out with me… just sayin’…) Simply email me the answer to this week’s “Who Am I?” question. Good luck: “Yesterday I turned 42. You might joke that I should sing “Sunrise, Sunset” as you review my movie resume. You might joke that because I stole a candy bar from my employer in a 1994 film (about the angst us Gen-Xers felt post-college) it inspired my leading lady in the film to steal stuff in real life. But don’t joke about how I divorced my wife (even though she knows how to swing a sword!) to marry our nanny, because that’s not funny.”