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Recent Polls

Do you expect the home buyer tax credit extension to contribute to a noticeable pick up in loan production?

Created By: Adam Quinones
  • Yes, I anticipate an increase in activity (27.1%)
  • Only a modest upturn in production (44.2%)
  • Nope. 2009 demand stole from 2010 demand (28.7%)

Federal Reserve MBS Purchase Program





View Details

MBS ALERT: Yet Lower...
by Matthew Graham
Posted
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Lenders that haven't already reprice for the worse may now be inclined to do so as we are at the lowest point of the last two sessions by a decent margin...

Two important things to remember here:

- this is not data driven and it is occurring after the book close (3pm).

- no data of substance today and extremely light volume.

 

So do be aware of potential reprices for the worse, but don't take this an a "sky is falling" type of alert.l

Data provided by Thomson Reuters
Secondary Marketing Managers and Capital Markets Desks, if you are interested in subscribing to the same fixed income and mortgage market data we use:CLICK HERE.

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Ryan Wiebe  |  Contact or Connect with this Member
on
How did we possibly see both the Dow and S&P up after the government posted a $1Trillion debt halfway through the year??? Also on the same day Financials are allegedly up, yet CIT is about to go under???
Jeff Larson  |  Contact or Connect with this Member
on
Financials will be strong, they are borrowing money at next to nothing and lending it out at much higher rates. Usury I say.
Brett Boyke  |  Contact or Connect with this Member
on
What we really should be discussing is whether everyone thinks I should float or lock my loan??? Just kidding.

It looks like a lot of people were drinking the Whitney/Goldman Kool-Aid today. They don't have the retail mortgage exposure the others reporting later this week do, and I hope the market will read more into their numbers and benefit bonds and MBS. What was lost is the negative comments in regards to unemployment and consumer spending. Just another example of the blinders being on and keyed in on the good while ignoring the bad.

Raymond J Ruddy III  |  Contact or Connect with this Member
on
Goldman is one of the world’s biggest underwriters too… a fortunate place to be in the second quarter, one of the grandest periods of dilutive stock offerings in history. On top of that, they got a $10 billion taxpayer lifeline, a market value of $74 billion and recently issued $28 billion in ultra-cheap FDIC-backed debt. So only $2 billion? Yawn… for the most politically connected bank in the world during the most rabid rebound rally since the Great depression, we’re not surprised. We suspect the second half of 2009 will be much more interesting. That was from "The 5"
Adam Dahill  |  Contact or Connect with this Member
on
Back from my trip and not a moment too soon. Locked up 5 floating deals today just before the price changes. Just in the nick of time. I feel that we will see lower rates in the near future but some of these clients were getting sea sick from the float boat so they need to get off. Very solid rates Friday and this morning. When was the best day last week? Friday? I was in a total media blackout with no access to email, phone, internet until Thursday of last week when I met a nice man named Pepe who let me use his internet.
Heather Stuart  |  Contact or Connect with this Member
on
I have an arm that adjusted down to 3.25% in May. I will be locked in until next May and it could potentially go up 2% each year until it hits a ceiling of around 10.25%. I know I should secure a fixed rate, but having a hard time convincing myself to lock in especially when you look at the cost. I missed the 4.6-4.80 rates, should I continue to float or lock?
Raymond J Ruddy III  |  Contact or Connect with this Member
on
Float it. get a package ready with someone so you can lock at a moments notice. hold off on the appraisal unless values are plummeting in your neighborhood. If they are, you might want to have the appraisal done now. it will be good for 60-90 days. Otherwise, hang tight and watch for the window of opportunity. The lowest rates may be yet to come. Worst case, rates go up, you are stuck with 3.25 for a year, and 5.25 for the next year. Take into consideration your long term plans.
Ricky Sticky  |  Contact or Connect with this Member
on
Heather, If you plan on living in the house for more than 2-3 years I would suggest getting serious about locking. You could still get low 5's. If you start the process and hold off on locking you could have gotten 4.875% for a 15 day lock last week.
Heather Stuart  |  Contact or Connect with this Member
on
Hey thanks Raymond! yes if I could find my crystal ball then I would know how long I plan to be here, but I don't freaking know! values are pretty stable in this area, I have been fortunate there.... This site is awesome, although I am lost a lot of the time, but catching on....I do understand LOCK or FLOAT! and I really understand 4.6......
J. 'Hammer' Helmer  |  Contact or Connect with this Member
on
Heather - go find a competent loan officer to work with and don't ask the opinions of total strangers. Getting financial advice on a site like this is like getting a diagnosis from WebMD.com. Besides, why would you get out of that ARM? That sounds like a dream! 3.25% till next May? 2% caps? What's it tied too? If you aren't gonna die in the house, it sounds like you are in a good loan. Put some money in the bank so you can afford a rate increase if it comes, and enjoy the benefits of the ARM - money in your pocket! By the way, if you are new here, I'm the offensive jerk who long ago got tired of the "should I lock or float" questions from consumers reading info that is really not meant for them. :-)
Raymond J Ruddy III  |  Contact or Connect with this Member
on
The Hammer has spoken...
Jan Van Petten  |  Contact or Connect with this Member
on
Hammer has a point, even if a little harsh. How anyone can tell someone to lock or float based on a short post here is beyond me.
Glen W. Spencer  |  Contact or Connect with this Member
on
Hammer obviously hasn't been making his weekly required trips to anger management. However, Heather, his information is right on point. You are currently in a great loan and you shouldn't feel pressured. You need to address your short/long term plans. When you have figured out what you are going to do, it will be much easier for a competant mortgage professional to give you 'sound' (take with a grain of salt) advice as to what you should do. Rates are volatile, but in your situation, you shouldn't be worried about the normal ups/downs of the minute by minute market changes. You have time on your side right now.
J. 'Hammer' Helmer  |  Contact or Connect with this Member
on
Glen, the court said I could stop the trips if I kept my number of posts on here below 10 a day ;-)
Clifford Hufnagle  |  Contact or Connect with this Member
on
Hammer - The only thing I don't understand about that outlook is if in fact this information isn't meant for consumers, then I think it's safe to say you think this info is meant for the professionals (or atleast competant loan officers). The same lot you suggest the wayward consumer to go find. So in essence, the consumers that come here and ask the inevitable "should I lock or float" questions every .0001 seconds, they are asking not just one, but several "competant loan officers". Unless you're saying those don't exists here.
Ethan Brizzi  |  Contact or Connect with this Member
on
"Go find a competent loan officer and dont ask the opinion of total strangers". Sage advice to someone who obviously doesnt have a loan officer to trust, Hammer! Heather, if you are looking for a competent loan officer, then you are at the right place; I would advise looking for a loan officer that is in your area on this site =) The whole goal of this blog is to provide information to clients just like you, as well as to bring a ray of sunshine into the lives of loan officers such as myself. I do agree with Jan, not knowing what your full scenario is makes it difficult to know whether or not your should lock or float, but it sounds like you are on the right path at the very least =)
Jason Andrews  |  Contact or Connect with this Member
on
Play nice, Hammer. Just because you give yourself a nickname like "hammer" doesn't mean you have to live up to it. Heather's questions was as legitimate as you can get. She came to a site where professionals reside and asked for sound advice. I for one don't have a problem giving that to her, without a charge, because that's the type of person I am. If someone new to this board reads your post there's a good chance they are going to think twice about asking a question, which is wrong. No one wants to get publicly humiliated for asking a question...
Jason Andrews  |  Contact or Connect with this Member
on
Play nice, Hammer. Just because you give yourself a nickname like "hammer" doesn't mean you have to live up to it. Heather's questions was as legitimate as you can get. She came to a site where professionals reside and asked for sound advice. I for one don't have a problem giving that to her, without a charge, because that's the type of person I am. If someone new to this board reads your post there's a good chance they are going to think twice about asking a question, which is wrong. No one wants to get publicly humiliated for asking a question...
Adam Quinones  |  Contact or Connect with this Member
on
I agree with Jason...dont worry Heather...ask away
J. 'Hammer' Helmer  |  Contact or Connect with this Member
on
Cliff - my answer to you is easy. 1) I don't get paid for helping people for free - if you want my advice, you need to pay for it like my clients do. Some consider that harsh - but my knowledge and experience is what I "sell" - you can get a loan ANYWHERE. 2) If you post on a doctor forum "I have a stomach ache, what should I take?" - how is a doctor going to know if you have a big problem or indigestion just by that statement?.......................................................Jason - I didn't nickname myself 'Hammer' - it was bestowed long long ago. Also, I'm glad you want to give free advice - it's very altruistic, but if you look at my advice, I think it is BETTER than yours - I think everybody should WORK with a professional, rather than trying to do it themselves - don't you?
Jason Andrews  |  Contact or Connect with this Member
on
Yes, Jason, advise mixed with sarcasm and a hint of a**hole is much better than anything I could ever provide. Someone get this guy a crown...he thinks he's a King.
J. 'Hammer' Helmer  |  Contact or Connect with this Member
on
I'm not here for popularity. It's an internet forum, I throw my useless $.02 in when I feel like it. I used to answer the questions, and I used to be nicer about it. Now, I am just constantly reminded that people think they can do better on their own with the help of "The Almighty Internet", for almost EVERYTHING. The internet is a great thing. Knowledge is a great thing. But not once do I see a consumer say "So let me get this straight, I want to see the yield on the 10 year treasury go DOWN, right? That is a good sign of lower rates to come?" They always say "lock or float", "lock or float"...........Bottom line, you be the nice guy. Me? I'm gonna just keep doin' what I do. My tone might be harsh, I'm too lazy to fix it. The people who KNOW me, know what I'm about. They read this stuff and laugh and say "Hammer's bein' Hammer"..........and then we go have lunch. Believe it or not, I really DO have friends, and clients, and referral sources, ;-).........I'm not King Jason - I'm just Hammer.
Heather Stuart  |  Contact or Connect with this Member
on
Thank you Adam and to all of you that understand why I am on this site and why I asked the question. Incidentally, not one LO I have been in contact with, outside of this site, ever mentioned possibly staying with what I have, 3.25% ARM, even knowing I am unsure of how long I will stay in the house. I have a long standing job, excellent credit rating, home is worth nearly twice what I owe. I was made to believe it would be stupid not to refinance and lock in for 15-30 years. (Of course I realize they are in business to make money) I did come to this "site where professionals reside and asked for sound advice", because I was under the impression that at least the majority of you are competent. And still believe that to be true. I may have found more info than I can ingest here, but after weeks of reading all the comments, I finally decided to ask the dreaded question, to float or not to float.....glad I did. Even if to complete strangers.....Thanks again!
Christina G  |  Contact or Connect with this Member
on
Good to see that you came back Heather! Here are my 2 cents as a consumer. I currently have a LO but he isn't family nor a friend and we just have a professional relationship. I think most consumers that are here are simply here for a 2nd,3rd 4th opinion just as a visit to WebMD would be. I don't think anyone should be personally attacked for a simple question. I learned as a child if you don't have anything good to say don't say it at all. So if you don't have the patience to respond to a "lock or float" question than don't bother responding and leave it to the others that do care to respond. I've received some helpful information from members on this site but I've also received comments that left me feeling my questions or comments were not welcome nor wanted. I'm glad to see those of you that came to Heather's defense, until this site gets structured for only those with a License to post here than we should make those with any questions feel welcome. Those are my 2 cents!
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