PHH Mortgage is one of the top ten originators of retail residential mortgages in the United States.  We offer you unsurpassed service, a full range of programs at competitive rates, and the smoothest mortgage experience in the industry.

In 2006 alone, PHH Mortgage provided $41 billion in mortgage financing for American homes, and every day we help more people fulfill the dream of home ownership.

 

The old saying is so true that engineers know so well.  People, animals, chemicals, metals, whatever, will follow the path of least resistance.  So, why not make the path to your door the easiest one to follow?

 

 

Here are several things that I thought of and I am sure that if you try, you can think of several more!

 

 

 

 

 

Don't let the financial markets squash your clients and your transactions!  Stay informed by reading my new daily "Daily Rate Lock Commentary" or just call me to find out what is going on!  If you want to be included in this distribution, just call or email me.  Remember, knowledge is power and the more educated you are in your industry, the higher quality buyers you are going to attract and that means easier closings, bigger houses and more money in your "hip national bank!"  And since rates are still climbing, call us to get your clients in our 90 day rate protection as soon as possible!

This week brings us four factual economic reports for the markets to digest. They are all scheduled for release Thursday and Friday, so the first part of the week will be left mostly up to the stock markets. In addition to the factual reports, we will also get the minutes from the last FOMC meeting that can also cause movement in rates. Three of the four reports and the minutes are considered to be moderately or highly important to the bond market and mortgage rates. Therefore, we should expect to see another week of movement in rates.

The bond market will be closed tomorrow in observance of the Columbus Day holiday. The first report of the week comes Tuesday afternoon when the Fed will release the minutes to the last FOMC meeting. These may be a major mover of the markets or could be a non-factor, depending on what they say. The key will be concerns over inflation and the Fed's next move. If the Fed members were concerned about inflationary pressures, we may see the bond market move lower and mortgage rates higher Tuesday afternoon. However, if they indicate a likelihood of another rates cut in the coming months, we should see the bond market rise and mortgage rates drop during afternoon trading.

The first factual economic data of the week will be posted Thursday morning. August's Goods and Services Trade Balance will be released that day, but is not likely to cause much of a change in mortgage pricing. This data is actually the week's least important. It will give us the size of the U.S. trade deficit, but usually does not lead to significant movement in bond prices or mortgage rates.

There are three reports scheduled to be posted Friday. The first is September's Retail Sales report, which is very important to the markets. This data measures consumer spending by tracking sales at retail establishments in the U.S. Since consumer spending makes up two-thirds of the U.S. economy, any related data is considered to be highly important. If we see weaker than expected readings in this report, the bond market should respond favorably and mortgage rates should drop. However, stronger than expected sales could fuel a stock rally and push mortgage rates higher. Current forecasts are calling for a 0.2% increase in sales.

September's Producer Price Index (PPI) is the second report of the day. This index measures inflationary pressures at the producer level of the economy and is considered to be of high importance to the markets. Analysts are expecting to see an increase of 0.4% in the overall index and a 0.2% rise in the core data reading. The core data is the more important of the two because it excludes more volatile food and energy prices. A larger than expected increase could fuel more inflation concerns in the bond market and push mortgage rates higher. But, weaker than expected readings should lead to lower rates, especially if the sales report doesn't give us stronger than expected results.

The last report of the week is October's preliminary reading to the University of Michigan Index of Consumer Sentiment late Friday morning. This index measures consumer willingness to spend and usually has a moderate impact on the financial markets. If it shows a sizable decline in consumer confidence, bond prices will probably rise. With the days other two reports being of such importance to the markets, I am not expecting this index to cause much movement in rates. It is expected to show a reading of 84.0, up from September's final of 83.4.

Overall, this is going to be an interesting week for the bond market and mortgage rates. The first part of the week will be left to the stock markets and the Fed minutes. Once we get into the economic data, bond traders will have more factual news to trade on rather than emotion from stock market movements. The most important day of the week is obviously Friday with the Retail Sales and PPI reports, but Tuesday's Fed minutes may also lead to a fair amount of volatility.

If I were considering financing/refinancing a home, I would.... Lock if my closing was taking place within 7 days... Lock if my closing was taking place between 8 and 20 days... Float if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now... This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.

 

Let me know if I can take an application for you anytime!  And, please let me know if you like the format of this email service.  I hope you are reading these so you can stay up on your profession and so you can make more money too!

 

Also, I am available to do a "Hit the Ground Running Workshop" with any agents interested in learning tons of things they can do to help them succeed in Real Estate.  I need at least 5 agents, brand new or experienced, looking for some motivation to put this on for you that will take 2-3 hours, depending on your involvement!  These are designed to be interactive so you can learn more about yourself and so you will walk away with a stronger sense of self-confidence too.

 

If you don't get at least 10 great ideas that can really help your business, I'll take you to lunch and give you a few more!

 

What are you waiting for?  Gather support with 4 of your collegues and call me today!

 

I hope you have a great week this week in real estate.  Call me if I can help you with that!!