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goldminingXpert (29.80)

Hope You Don't Need A Mortgage

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May 27, 2009 – Comments (24) | RELATED TICKERS: OMG , N , O

You screwed up Ben. Big time.

mortgage rates

That's right... it costs 28% more to get a 30-year mortgage TODAY than it did YESTERDAY! Nice work Ben and Barack, you just killed what was left of the housing industry.

Read the longer, more drawn-out post I made earlier about the markets today here.

24 Comments – Post Your Own

#1) On May 27, 2009 at 2:53 PM, ChrisGraley (30.30) wrote:

Ouch! The beginning of the end.

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#2) On May 27, 2009 at 2:55 PM, WeenTang (47.58) wrote:

Where are you getting these mortgage rates?

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#3) On May 27, 2009 at 2:56 PM, goldminingXpert (29.80) wrote:

http://www.erate.com/six_month_libor_index.6-months-libor.htm

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#4) On May 27, 2009 at 3:01 PM, givmeabreak (29.60) wrote:

That is Libor, which would affect ARMS, but the refi/purchase rates are still as low as 4.375 for a 30 yr fixed.

So, where is the problem for new home purchasers or refis that use the standard 30 yr fixed rate?

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#5) On May 27, 2009 at 3:05 PM, WeenTang (47.58) wrote:

thanks

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#6) On May 27, 2009 at 3:05 PM, DeerHunter73 (72.47) wrote:

30 Year Fixed  5.00%  4.99%

15 Year Fixed 4.69%  4.63%

1 Year ARM 4.60%  4.63%

30 Year Fixed Jumbo 6.32%  6.27%

5/1 ARM 4.62%  4.56%

3/1 ARM 4.72%  4.67%

Today's rates are 1st last weeks rates are 2nd.

source bankrate.com

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#7) On May 27, 2009 at 3:06 PM, goldminingXpert (29.80) wrote:

Look at the whole site... it is mortgage rates/libor rates/and even stock quotes there. That said, I'm hearing from other sources that 30-years are only up .25% to .5% at other banks (i.e. what was 5% yesterday is 5.4% today for example). Still, this isn't good news if you need a mortgage or if your are Merisucky Homes Corp. (MTH)

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#8) On May 27, 2009 at 3:06 PM, goldminingXpert (29.80) wrote:

Trollhunter... go back to the wild man, quit posting old crap.

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#9) On May 27, 2009 at 3:09 PM, goldminingXpert (29.80) wrote:

Here's an updated chart of Fannie Mae bonds... clearly they aren't unchanged.

http://www.mbsquoteline.com/images/charts/homechart1243450480.png

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#10) On May 27, 2009 at 3:09 PM, ati2ud (26.20) wrote:

dude enough already... we all see that you dont like what GMX has to say, so start your own blog and get off his

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#11) On May 27, 2009 at 3:11 PM, DeerHunter73 (72.47) wrote:

#10 i did start my own blog he got on and shouldnt have now its fair game.

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#12) On May 27, 2009 at 3:12 PM, DeerHunter73 (72.47) wrote:

Those rates are current for ALL of florida per bankrate.com Bank atlantic. Bac Wamu, and 3 local reailtors. Go back on vacation, Wait you have been on one for 2 months

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#13) On May 27, 2009 at 3:16 PM, goldminingXpert (29.80) wrote:

You frickin moron

From bankrate's site:

mortgage Bankrate.com Averages By Bankrate.com

Bankrate's site displays two sets of rates that are produced from two surveys we conduct: one daily and the other weekly. They're both useful, but they're samples of different groups and they serve different purposes.

You will see daily rate averages on the site in boxes labeled "overnight averages" (these calculations are run after the close of the business day).

Read it. There. Old data. Has the business day closed? No.

 

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#14) On May 27, 2009 at 3:18 PM, DeerHunter73 (72.47) wrote:

Your done, Ill be working on a blog to post on the net, forget caps. Everything you have thought to predict will be in it cya.

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#15) On May 27, 2009 at 3:31 PM, Option1307 (29.96) wrote:

Just ignore him GMX, and please continue to post your thoughts. They are appreciated whether everybody agrees with them or not

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#16) On May 27, 2009 at 3:36 PM, jstegma (29.48) wrote:

http://www.erate.com/six_month_libor_index.6-months-libor.htm

That erate data look like it tends to spike a lot from day to day for whatever reason (particularly obvious on the one-year time period graph), so I don't know that the mortgage rates have really jumped 28% in one day.  I don't think it's quite that bad.

However, if the yield on the 10-year Treasury went up 20 basis points, you'd have to at least expect something similar on the 30-year mortgage note. 

Increasing mortgage rates will be a huge problem for the housing market, and I think they are on the way.

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#17) On May 27, 2009 at 3:53 PM, ttboydxb (29.41) wrote:

Keep up the good work GMX, I'm riding TMV and lovin it!!! Keep pressin the "Buy" button Ben, I'm gonna make you and little Timmy pay for FAZ you Bas%$#ds!!!   :)

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#18) On May 27, 2009 at 4:18 PM, bridgeboy0 (94.03) wrote:

Good info.  Thanks for passing it along, GMX.

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#19) On May 27, 2009 at 4:37 PM, DeerHunter73 (72.47) wrote:

  Mortgage rates go up to 5.04%United States — Wednesday, May 27, 2009

National mortgage rates on 30-year fixed mortgages climbed 2 basis points from 5.02% to 5.04% on May 27, 2009, according to Zillow Mortgage Marketplace. As a comparison, state rates ranged from a low of 4.98% (CA) to a high of 6.75% (NE).

Compared to the week prior to May 27, 2009, the national 30-year mortgage rate is up 6 basis points from 4.98%. Compared to three months ago, the 30-year rate is down 17 basis points from its average rate of 5.21%.

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#20) On May 27, 2009 at 6:12 PM, goldminingXpert (29.80) wrote:

TMV looks ike a fun gamble.

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#21) On May 27, 2009 at 6:22 PM, goldminingXpert (29.80) wrote:

It's getting even worse. All I can say is THE HORROR! THE HORROR!

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#22) On May 27, 2009 at 6:34 PM, TigerPack1 (99.17) wrote:

The year over year change in interest rates is THE MOST IMPORTANT factor or trend to keep your eye on.

GMX look at the last 90 years of trading data and its effects on stock pricing overall.  It is a great "indicator" and changes in the YOY trend often happen EXACTLY at major stock market sell-offs.

However, the entire yield curve is below the year-ago levels, and we have to see a good 20 basis points more on the upside on long bonds and more like 30-50 on the 10-year or 5-year (respectively) to get me scared.

You are right, my full-service savings & loan did raise their mortgage rates 1/8 of a percent today, and may raise it another 1/8 tomorrow, but that is just above its modern-day low number.

Rising consumer confidence and stock market wealth more than offset a quarter point rise in mortgage rates, guessing the rate of future RE activity in my mind at least.

My favorite REITs took it on the chin today, as did the market, but we are still nicely above yesterday's low trades.  We will see if a breakdown occurs tomorrow.  If it does I still do not expect anything more than a normal 8%-10% correction in the market averages with this news from the peak a few weeks ago.

Throw in another 50 basis point rise in rates, a war with N. Korea and higher oil prices, and we might see a 15% or so retest selloff, but I am not betting on that situation in the slightest with my money.

 

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#23) On May 27, 2009 at 6:41 PM, goldminingXpert (29.80) wrote:

Qualitative easing has failed. The Fed is powerless. Nobody will buy our bonds. The gov has to crash the equity market to prop up the treasury bonds so the gov can get funded. This is very bearish--this is a nightmare scenario that's kept us up at night since 2007 that we bears were all hoping could be avoided.

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#24) On May 27, 2009 at 9:08 PM, columbia1 wrote:

countrywide has 5.75% on a 30, tonight. Thanks, GMX, you got a rec on both post!!

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