CA Mortgage Rates Recover Some Lost Ground Ahead of NFP

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Blue Home Loans, Inc. takes a look at the recent rate movement reported by Mortgage News Daily and offers some insight for California home buyers and owners with home loan plans in the near future.

Blue Home Loans, Inc. is a California full-service mortgage company, headed by father and son Robert and Brandon Blue, which has been helping California borrowers to find the best mortgage rates and home loans for their unique situations for many years. The team at Blue Home Loans is dedicated to serving its clients with honesty, integrity, and competence. One of the many services that the company offers its clients is keeping track of mortgage rate movement on their behalf so that their clients will have the best information available when making home loan decisions. Today, CA mortgage rates recovered some lost ground, improving slightly over the previous days’ losses just ahead of tomorrow’s NFP report.

The California mortgage company looks at the recent state of affairs reported by real estate news website, Mortgage News Daily, and offers some insight for California borrowers. The MND article, posted this December 4th, says, “Mortgage rates recovered some recently lost territory today following a press conference with European Central Bank (ECB) President Mario Draghi. While domestic mortgage rates are several degrees of removed from European monetary policy, there's an undeniable connection. Many market participants expected more concrete action from the ECB, and expectations for that action have recently pressured US Treasury yields higher. When markets didn't get as much as they expected from Draghi, stock prices and bond yields sank.”

This same article goes on to explain, “The mortgage-backed-securities (MBS) that govern loan pricing tend to follow those broader bond market movements, but with just a bit less intensity. Today was no exception, and it allowed lenders to improve the costs associated with prevailing rates very slightly. Rates themselves were unchanged, with 4.0% still being the most prevalent rate for top tier borrowers seeking conforming 30yr fixed loans. 3.875% remains not far behind in terms of prevalence.”

Blue Home Loans explains that this small recovery for rates is good news, but with the Jobs Report on the way, it is much too early to celebrate. If the data comes back stronger than expected, there is a good chance rates could continue to worsen for California borrowers. That being said, if tomorrow’s report shows weaker data, or simply fails to go too far beyond expectations, rates could continue to improve. This has been seen several times this year, with European market concerns taking precedent, even over stronger jobs data, when it comes to domestic mortgage rate movement motivation.

In any case, those who have been on the fence about starting a new home loan should consider that rates are still near the lowest levels of the year despite some volatility over the past few days. Tomorrow’s report could mean a more solid move away from these lows, or it might be the start of a new rate rally, depending on how the data looks. In either case, those who want to take advantage of best California mortgage rates will want to start their mortgage application as soon as possible so that they can be ready to lock in their rates at a moment’s notice when the time is right.

The team of mortgage professionals at Blue Home Loans, Inc. can help those who have been waiting to start a home loan to find the loan programs that make the most sense for their particular financial situations and home ownership goals, as well as the lowest wholesale mortgage rates and closing costs available so that they can save the maximum amount on their homes. The Blue Home Loans website states, “We make finding a loan simple because we have virtually every loan program available, regardless of the type of mortgage you are looking for. Whether you are dealing with bad credit, foreclosure, bankruptcy, or low credit scores, we can help you. It only takes us five minutes to find the right program that fits your needs."

For more information on how Blue Home Loans can help California home loan borrowers get approved for their home purchase loan or refinance quickly, please visit BlueHomeLoans.com or call 1-888-929-BLUE (2583) to speak with an experienced mortgage professional.

California Bureau of Real Estate -- BRE #01938557 NMLS #1162386

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