(PRWEB) March 17, 2012
The Homes.org weekly mortgage rate report found that despite last week's lack of U.S. economic news there was a noticeable upward movement in mortgage interest rates. Historically interest rates are expected to inch up as the U.S. economy improves. The finalization of the Greek bailout also helped to make things a little more stable here. The increase wasn't huge but at 4 basis points it's the biggest change we've had in the last few weeks.
Current interest rates are:
4.15% - average rate for a 30-year fixed rate mortgage
3.38% - average rate for a 15-year fixed rate mortgage
This week numerous economic reports came out which could affect the rates in the week to come. Below is a summary of the most important economic news.
- Tuesday: February Retail Sales Report
- Tuesday: Fed Meeting
- Wednesday: Fed Chairman speech
- Thursday: Producer Price Index released
- Friday: Consumer Price Index released
The February Retail Sales report showed that consumers are starting to open up their wallets more. The 1.1% increase was the largest gain in retail sales in 5 months. Even though people are paying more in gas that didn't deter them from buying vehicles which really helped to boost the overall figures.
Prices rose 0.4% for finished goods in February as indicated by the Producer Price Index for the month. The Consumer Price Index also rose by 0.4%, this biggest increase in 10 months, largely due to the jump in gas prices. Despite the talk of increasing inflation, Wednesday Fed Chairman Ben Bernanke indicated that they wouldn't be changing their plan to keep base interest rates around 0% until 2014 nor would they take any extra actions to prompt economic stimulus.
Homes.org is forecasting that mortgage rates will likely move sideways or increase a basis point or two next week after the positive economic news.
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.