(PRWEB) July 01, 2012
Buyers and homeowners looking to refinance will be happy to know that this week mortgage rates remained at record lows. This week’s Homes.org mortgage report discusses the factors that led to the steady mortgage interest rates as well as this week’s economic news which could have an effect on rates in the coming days. This week the 30-year fixed rate mortgages and the 15-year fixed rate were unchanged.
Current mortgage interest rates are:
3.89% - average rate for a 30-year fixed rate mortgage
3.16% - average rate for a 15-year fixed rate mortgage
Treasuries continued to be more attractive to investors at the start of the week due to the continued economic troubles in Europe. This has been a driving factor keeping mortgage rates suppressed here in the U.S.
This week there were numerous economic reports released. Below is an overview of this week's most important economic activity.
- Monday: May New Home Sales Report
- Tuesday, Wednesday, Thursday: Large Treasury Auctions
- Thursday: First Quarter Gross Domestic Product Final Report
- Friday: Personal Income and Spending Report
The number of New Home Sales in May increased 7.6%, which was more encouraging than the drop in reported in Existing Home Sales last week. However, it’s important to keep in mind that low inventory levels for existing homes contributed to the lower than expected total sales. New home sales in June may see a similar trend in inventory since the number of May housing starts dropped 4.8%.
The Q1 GDP final report found that the GDP increased by 1.9%, the same finding as the last Q1 report but lower than originally expected. The news in the Personal Income and Spending report also found little change from previous reports with personal income increasing modestly and spending remaining flat.
With little changing in the economy, the Homes.org mortgage team is predicting interest rates will again hold steady at their record low rates in the coming week.
Homes.org is a fast growing real estate search portal that offers users much more than MLS listings. Homes.org gives users access to a rich collection of resources, including but not limited to, real estate listings, home owner finance tools and home service tools. Homes.org brings buyers, sellers and renters important information about the current markets and intelligent tools by partnering with real estate professionals from around the country. Homes.org is a subsidiary of Star Nine Ventures, Inc. headquartered in Austin, TX.
About Star Nine Ventures®
Star Nine Ventures® is an Austin-based, marketing-driven venture creation company targeting a wide range of national business-to-consumer online marketplaces. Star Nine's core mission is to build businesses that provide exemplary consumer experiences and unparalleled customer service.