The West Continues to Lead in Home Price Appreciation
Real estate recovery has been uneven, with home prices in some parts of the country outperforming others.
The recent 5.5% year-over-year gain for home prices has put the FHFA House Price Index about 3% past its April 2007 levels.
Prices continue to climb In February 2016, the FHFA (Federal Housing Finance Agency) reported that home prices grew 0.4% month-over-month and 5.6% year-over-year. Home prices have eclipsed their April 2007 peak…
American Capital Agency increased its leverage ratio from 6.8x to 7.3x in the first quarter of 2016.
American Capital Agency’s (AGNC) average asset yield in 4Q15 was 2.3%, a big decrease from 3.0% in 1Q16.
During the first quarter of 2016, American Capital Agency’s balance sheet rose from $60 billion in assets to $62 billion in assets.
American Capital Agency’s (AGNC) book value per share fell from $22.59 in the fourth quarter of 2015 to $22.09 in the first quarter. Why?
PulteGroup’s (PHM) gross margins for 1Q16 came in at 21.9%, down 80 basis points year-over-year and 160 basis points from the fourth quarter.
The ten-year bond yield rose by 14 basis points to 1.9% for the week. Ginnie Mae TBAs fell. They closed at 105 11/32. They outperformed Fannie Mae TBAs.
For the week ending April 22, Fannie Mae TBAs ended at 104 16/32—down 12 ticks for the week. The ten-year bond yield rose by 14 basis points to 1.9%.
Lately, mortgage rates and bond yields have been weakly correlated. Treasury yields fell over the past month and mortgage rates have been steady.
Ten-year bond yields influence everything from mortgage rates to corporate debt. Now, they’re the benchmark for long-term US interest rates.
The big event for investors will be the April FOMC meeting. Investors are assigning a 0% probability that the Fed will hike rates next week.
To combat rising home prices in the United States, it’s crucial that potential buyers shop around for the best deals on mortgages.
30-year fixed mortgage rates have dipped slightly in the past year after rising in the middle of 2015 and at the end of last year.
There are two primary avenues for potential homebuyers shopping for mortgages—a bank or a brokerage. Both have their advantages and shortcomings.
With the spring selling season underway, housing starts in the United States are rising.
The ten-year bond yield rose by 3 basis points to 1.8% for the week. Ginnie Mae TBAs rose by 1 tick and closed at 105 23/32. They outperformed Fannie Mae TBAs.
For the week ending April 8, Fannie Mae TBAs ended at 104 28/32—unchanged for the week. The ten-year bond yield rose by 3 basis points to 1.8%.
Lately, mortgage rates and bond yields have only been weakly correlated. Treasury yields fell over the past month and mortgage rates have been steady.