Friday, September 9, 2016


Today's Top Three Luxury Estates in San Diego, Los Angeles, San Francisco and Seattle Just Listed For Sale

                                             .                                 
                                      
                                      "A mansion is a large and stately dwelling"
The word mansion derives through Old French from the Latin word mansio "dwelling", an abstract noun derived from the verb manere "to dwell". The English word "manse" originally defined a property large enough for the parish priest to maintain himself, but a mansion is no longer self-sustaining in this way.  'Manor' comes from the same root—territorial holdings granted to a lord who would remain there—hence it is easy to see how the word 'Mansion' came to have its meaning.  Windsor Castle located in Berkshire, England is the largest mansion in the world with around 484,000 sq.ft.


Today's Top Three Mansions

#1     1627 East Valley Road, Montecito, CA 93108 with 8 bedrooms, 13 baths, and 21,345 sq.ft. is listed for sale at $52,000,000.

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This is a rare opportunity to acquire one of the most grand estates, in the finest location of Montecito. Behind beautiful gates a tree lined driveway leads to this impeccably designed home with views overlooking both the ocean and mountains. The definition of luxury living, no detail has been overlooked. From the awe inspiring Lockwood De Forest Jr. designed gardens and pond, to the highest quality finishes of the interior. The approximate 9.37 acre estate includes the main house, guest house, pool, pool house, tennis court, tennis pavilion, 4-car garage, two 2-car detached garages, rose, flower and organic vegetable gardens, and reflecting pond with fountain.

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#2     740 Park Avenue #67A, Upper East Side-New York, NY 10021 with 4 bedrooms and 7 baths is listed for sale at $32,500,000.    

740 Park Avenue is one of Manhattan’s most celebrated residential landmarks designed by architect Rosario Candela. Recently and impeccably renovated, this immense 14 into 12 room duplex seamlessly incorporates custom modern finishes within a traditional architectural vernacular. Anchored by a vast marble gallery with sweeping staircase, the entertaining floor includes a baronial living room facing Park Avenue, handsome library with original paneling, and tremendous dining room; all of which enjoy fireplaces. The state-of-the-art St. Charles designed kitchen includes a sunny breakfast room and staff quarters. Upstairs, the expansive master suite overlooks Park Avenue and includes two marble baths, two dressing rooms, and two offices. Additionally there are three large bedrooms with en-suite baths and a media room. Offered in superb condition, this newly renovated residence was finished to the highest standards and offers a chic contemporary take on a classic Park Avenue residence
Co-op for Sale at 740 Park Avenue 740 Park Avenue Apt 67A New York, New York 10021 United States









#3      457 North Rockingham Avenue, Brentwood, CA 90049 with 7 bedrooms, 
8 baths, and 12,000 sq.ft. is listed for sale at $19,950,000 

457 N Rockingham Ave, Los Angeles, CA 90049

Tucked behind private gates and hedges, a magnificent estate in Brentwood Park offers unparalleled elegance and comfort. A refined foyer opens to exquisite interiors featuring soaring ceilings, oak floors, wainscoting and French doors. Main level spaces have canyon views and include a great room and formal dining room with double fireplace, sitting room, office and playroom, all seamlessly integrated with sliding pocket doors. Chef's kitchen includes eat-in island, butler's pantry and deco wet bar. Upstairs features open mezzanine with spacious bedrooms boasting walk-in closets and newly upgraded bathrooms. Master suite features sitting room, dual baths, dressing rooms and terrace. Backyard boasts two tiers of entertaining space including deck with lounge seating, pool, spa, and cabana with sitting area and both indoor and outdoor showers. Additional features include a guest apt., gym, screening room, billiards room, wine cellar, designer light fixtures and Wolf and Miele appliances.

457 N Rockingham Ave, Los Angeles, CA 90049

457 N Rockingham Ave, Los Angeles, CA 90049

457 N Rockingham Ave, Los Angeles, CA 90049

457 N Rockingham Ave, Los Angeles, CA 90049

457 N Rockingham Ave, Los Angeles, CA 90049

457 N Rockingham Ave, Los Angeles, CA 90049


   Today's Real Estate News

   Stormy Weather Hits Home Sales

   By Steve Cook
   Real Estate Economy Watch


Stormy Weather Hits Home Sales
A combination of rising prices, slow economic growth and chronically short inventories are outflanking mortgage interest rates that still above near historic lows to put am an early damper on the 2016 selling season.
The latest evidence that sales are off is today’s news from NAR: July existing-home sales decreased on a year-over-year basis for the first time since November 2015. Total existing-home sales fell 3.2 percent to a seasonally adjusted annual rate of 5.39 million in July from 5.57 million in June. For only the second time in the last 21 months, sales are now below (1.6 percent) a year ago (5.48 million). Only the West region saw a monthly increase in closings in July.
Chronically low inventories are reducing buyer choices and driving up prices.  Tight inventory has led to multiple offers on homes and elevated price growth. As of July 2016, 41 percent of homes were sold at or above the list price, up from 36 percent one year ago. As of June 2016, the inventory of existing homes listed on the market as of the end of the month was enough to last 4.6 months at the current pace of sales. Historically, home prices increase at a more rapid pace when inventory is less than six months’ supply, NAR reported.
Price growth is far outpacing income growth. As of June 2016, the median family income is up by 11 percent compared to the level in January 2012, while the median price of an existing home is up by 62 percent over this same period.As of the second quarter of 2016, NAR estimates that the median income of first-time homebuyers is $44,703, only slightly above the qualifying income of $42,720.
2016-08-24_11-50-39
NAR’s report shocked forecasters. Economists polled by Reuters before the July data were released forecasted that sales would slip 0.4 percent to a 5.51 million-unit pace in July, down 1.6 percent from a year ago. A similar survey of economists by the data firm FactSet predicted that July sales would fall 1.3 percent to a seasonally adjusted annual rate of 5.51 million, far below the 3.2 percent fall reported by NAR.
NAR Chief Economist Lawrence Yun said sales in all regions are now flat or below a year ago, and price growth isn’t slowing to a healthier and sustainable pace.
“Severely restrained inventory and the tightening grip it’s putting on affordability is the primary culprit for the considerable sales slump throughout much of the country last month,” he said. “Realtors® are reporting diminished buyer traffic because of the scarce number of affordable homes on the market, and the lack of supply is stifling the efforts of many prospective buyers attempting to purchase while mortgage rates hover at historical lows,” said Yun.
Reacting to the news, Zillow’s Svenja Gudell said, “The reality of low inventory has finally sunk into the existing home sales market, which was climbing steadily against almost all expectations for the past four months before today’s speed bump. But it’s very difficult to sustain growing sales volumes when there simply aren’t many homes for sale. What’s more, those homes that are for sale are increasingly unaffordable for first-time and entry-level home buyers,” she commented
In an analysis published two days before NAR’s release, Gudell’s colleague, Aaron Terrazas, predicted “the party is over” in home sales for the season.
“Thus far, it has been a pretty sweet ‘16 for home sales. But according to our July home sales forecast, the party looks like it could be coming to an end, at least temporarily and especially for sales of existing homes that must eventually face the harsh reality of tight inventory and rising price.  Our forecast for existing home sales points to a 1.9 percent decline from June to 5.46 million units at a seasonally adjusted annual rate. This would place existing home sales down 0.3 percent compared to a year earlier,” Terrazas wrote.
2016-08-24_11-32-44
As early as June 25, Redfin’s research staff predicted sales would slow in August based on June’s demand decline in June, a month later than they did.  Redfin’s new Redfin Housing Demand Index, a forward-looking metric that is highly correlated with NAR’s existing-home sales levels, found that 7.6 percent fewer homes were for sale across the 15 metros in June.  Still, there were more buyers than homes, which meant homes sold quickly, many over list price and often in bidding wars.
“These major metro areas have all felt the squeeze from inventory, meaning there was just less for buyers to look at,” said Redfin chief economist Nela Richardson. “It’s not surprising that demand reflects that squeeze. Even strong buyer interest can’t squeeze a fresh listing from what’s become a dry turnip of housing supply.



Today's Top Three San Diego Luxury Estates
sandiegorealestateflashreport.com.

Image result for san diego skyline art

The median home value in San Diego County is $513,600 and is up 5.4% over the past year.  Zillow predicts it will rise 1.7% within the next year. 

The median home value in La Jolla is $1,665,500  and is up 6.1% over the past year.Zillow predicts it will rise 1.8% within the next year. 

The median home value in Rancho Santa Fe is $2,736,700 and is up 1.3% over the past year. Zillow predicts it will rise 1.6% within the next year.



#1      484 Prospect Street, La Jolla, CA 92037 with 11 bedrooms, 12 baths, and 
16,683 sq.ft. is listed for sale at $11,995,000.

484 Prospect St, La Jolla, CA 92037


The premier in-village living experience in La Jolla, if not all of Southern California! Comfortable opulence can be yours at this exceedingly private and luxurious villa which features 7 bedroom suites and 4+ additional guest rooms or offices, multiple entertaining areas and balconies, as well as phenomenal ocean views, all within a short stroll of La Jolla's world class dining/entertainment, The Bishop's School and famous La Jolla Cove

484 Prospect St, La Jolla, CA 92037

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484 Prospect St, La Jolla, CA 92037

484 Prospect St, La Jolla, CA 92037

484 Prospect St, La Jolla, CA 92037

#2      128 9th Street, Del Mar, CA 92014 with 4 bedrooms, 3 baths, and 2,974 sq.ft. is listed for sale at $5,295,000

128 9th St, Del Mar, CA 92014

The unobstructed Pacific Ocean views to La Jolla are hard to ignore from this rare, classic double-lot property west of Stratford Court in Del Mar This spacious and secluded Hollywood Chic home nestles up to pristine ocean-facing brick patio with expert plantings, shaded areas and plenty of greenery. Multiple patio enclaves can be used for entertaining, dining or relaxing in the ocean breeze. Mature landscaping and built-in grill area creates an outdoor oasis in the heart of Del Mar 

128 9th St, Del Mar, CA 92014

128 9th St, Del Mar, CA 92014

128 9th St, Del Mar, CA 92014

128 9th St, Del Mar, CA 92014

128 9th St, Del Mar, CA 92014

#3       7256 Country Club Drive, La Jolla, CA 92037 with 5 bedrooms, 6 baths, and 5,134 sq.ft. is listed for sale at $4,995,000.

7256 Country Club Dr., La Jolla, CA

Ocean view panorama par excellence! Perfectly sited to capture outstanding ocean views, this landmark Spanish-style home, originally built by famed architect tom sheppard, is gracious and very beautiful. With the charm of a bygone era and offering today's conveniences, it welcomes all who enter.

7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA



7256 Country Club Dr., La Jolla, CA

7256 Country Club Dr., La Jolla, CA

Today's Top Three San Francisco Luxury Estates
sanfranciscorealestateupdates.com

The median home value in San Francisco is $1,106,400 and is up 1.3% over the past year. Zillow predicts it will go down - 0.4% within the year.

The median home value in Sausilito  is $1,204,600 and is up 8.3% over the past year. Zillow predicts it will rise .5%  this year. 

The medium home value in Tiburon is $2,350,300 and is up 3.7% over the past year. Zillow predicts it will rise 0.2% this year 

The median home value in Saratoga is $2,343,100. Saratoga home values have gone up 2.1% over the past year and Zillow predicts they will go down (0.5)% within the next year.


#1      25 Bond Lane, Tiburon, CA 94920 with 4 bedrooms, 3 baths, and 3,901 sq.ft. is listed for sale at $4,100,000.

25 Bond Ln, Tiburon, CA 94920


Compass' first Marin listing! The best house in Tiburon! Bond. 25 Bond. For your eyes only. This entrancing beauty will blow you away with its resortlike backyard and huge lawn overlooking Mt. Tam. It is rare to have a flat lawn, sun and views so close to San Francisco. Enter down a private gate, there is over 1 acre here. The top floor is the master suite with space galore. You are licensed to cook away in the kitchen and open family room

25 Bond Ln, Tiburon, CA 94920


25 Bond Ln, Tiburon, CA 94920

25 Bond Ln, Tiburon, CA 94920

25 Bond Ln, Tiburon, CA 94920

25 Bond Ln, Tiburon, CA 94920

25 Bond Ln, Tiburon, CA 94920

#2      27589 Samuel Lane, Los Altos Hills, CA 94022 with 4 bedrooms, 5 baths, and 5,441 sq.ft. is listed for sale at $4,500,000.

27589 Samuel Ln, Los Altos Hills, CA 94022

Beautifully finished custom home on approximately 1.23 acres. Newly finished inside and out. Formal living room with wall of floor-to-ceiling cabinetry, crown moldings, recessed lighting, and glass-enclosed fireplace. Beautiful chef's kitchen with white cabinetry, granite slab counters and full height backsplashes, island with counter seating plus large casual dining area. Open family room with wood-burning fireplace, crown moldings and recessed lighting. Main-level master bedroom suite with floor-to-ceiling built-in cabinetry, French doors to a private deck and recessed spa, gas-log fireplace and dressing room with two walk-in closets. Expansive upstairs bonus room with cathedral ceiling, maple floors, windows on two sides and adjoining half-bath. Spacious entertainment terrace off the family room/kitchen with vine covered pergola, fireplace and barbecue center. Wraparound yard plus footbridge over seasonal creek leading to a vast open field.

27589 Samuel Ln, Los Altos Hills, CA 94022

27589 Samuel Ln, Los Altos Hills, CA 94022

27589 Samuel Ln, Los Altos Hills, CA 94022

27589 Samuel Ln, Los Altos Hills, CA 94022

27589 Samuel Ln, Los Altos Hills, CA 94022

27589 Samuel Ln, Los Altos Hills, CA 94022


#3     144 Central Avenue, San Francisco-Haight Ashbury, CA 94117 with 5 bedrooms, 6 baths, and 3,870 sq.ft. is listed for sale at $3,795,000.
           
144 Central Ave, San Francisco, CA 94117

Grand scale Victorian home w/apx 3,870sf, 5-bedrooms, family, media & 5.5-baths. The main floor showcases a chef's kitchen with Thermador appliances incl. built-in refrigerator, 6 burner gas range, quartz counters and large island. 3-bedrooms on the 2nd floor w/huge master suite and bathroom w/lux. shower and soaking tub. Top floor contains 2 additional bedrooms, 2-bathrooms and family room with wet bar. Lower level media room w/wet bar & full bath may double as private guest suite with separate entrance from street. Decks on all levels plus sunny landscaped garden w/gas fire pit and 2-car garage parking included! Fab loc. with 94 Walkscore - walk to Buena Vista Park, Ritual Coffee, NOPA and more!! Do not miss this opportunity   

144 Central Ave, San Francisco, CA 94117

144 Central Ave, San Francisco, CA 94117


144 Central Avenue, San Francisco, CA

144 Central Avenue, San Francisco, CA

144 Central Avenue, San Francisco, CA


Today's Top Three LA Luxury Estates
larealestateupdates.blogspot.com




The median home value in Los Angeles County is $532,000 and has gone up 6.7% over the past year.  Zillow predicts they will rise 1.1% within the next year. 

The median home value in Malibu is $2,541,200 and has gone up 1.6% over the past year. Zillow predicts they will go down -0.3% within the next year.

The median home value in Beverly Hills is $3,027,200 and has gone up 6.3% over the past year. Zillow predicts they will rise 0.7% within the next year.

The median home value in Bel Air is $3,137,700 and has gone up 5.1% over the past year. Zillow predicts they will rise 0.5% within the next year.


#1     27551 Pacific Coast Highway, Malibu, CA 92065 with 9 bedrooms, 11 baths, and 10,000 sq.ft. is listed for sale at $11,950,000

27551 Pacific Coast Hwy, Malibu, CA 90265

Gorgeous 1906 Craftsman with over 4260 sq.ft. (does not include finished 3rd story) restored and remodeled to perfection. Beautiful chefs kitchen, top of the line appliances and casual dining area. Entertaining sized living and dining rooms all opening out to an expansive deck with sweeping lake, mountain and Mt. Rainier views. Enjoy these same views from most rooms. 5 large bedrooms, high ceilings, exquisite millwork, hardwood floors and much more. 2 car gar. Short walk to lake, parks and schools

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265

27551 Pacific Coast Hwy, Malibu, CA 90265


#2     31240 Beach View Estates Drive, Mailibu, CA 90265 with 7 bedrooms, 8 baths, and 7,692 sq.ft. is listed for sale at $7,350,000


With one of the best vws in Malibu, this modern home features a warm and inviting architectural style that flows with the surrounding nature. Explosive views from entry and great room, soaring ceilings, limestone fireplace, automatic triple-track sliding glass door system. Back yard has a full-length lap pool, 14-jet spa, Wolfe barbecue center and covered outdoor room w/fireplace. Wolfe appliances, Sub Zero fridge. Smooth limestone floors on main and lower levels, natural walnut upstairs. Master wing is a spa retreat unto itself. Bathroom has jetted spa tub and large steam shower with multiple shower heads. Other wing has 4+3. Exec. office is perched over great room. Lwr level is designed as home theatre, wine cellar and has an aquarium view window into the pool. Large fmly rm has full bar. High ceilings & natrl light create a happy, calming environment that reminds you that the blue Pacific is part of every moment in this harmonious luxury residence








#3         144 North Woodbum Drive, Brentwood, CA 90049 with 5 bedrooms, 8 baths, and 10,150 sq.ft. is listed for sale at $11,650,000.
144 N Woodburn Drive, Los Angeles, CA


Located in the highly coveted, and Guard Gated, Brentwood Circle. Hip and cool Italian Villa, with interiors recently completed by renowned design team. Every element of this home was masterfully thought through; From the book-matched marble slabs in the kitchen and master bath, custom made steel French doors and windows to the "Waterwork" and "Compass" fixtures, stone from "Exquisite Surfaces", Mahogany windows & doors and the "Savant" & "Lutron" smart technologies. Rooms include living room, dining room, junior dining room, family room, library, office, gym, world class wine cellar, 12 person screening room, mudroom, butlers pantry/bar, covered veranda, 2 terraces and a 6 car, collectors garage. The stunning pool is flanked by olive trees, surrounded by a lush lawn and leads to a guest house. A rare offering
144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

144 N Woodburn Drive, Los Angeles, CA

Today Top Three Seattle Luxury Estates
seattleluxuryrealestateupdates.com

The median home value in Kirkland is $571,000. Kirkland home values have gone up 14.5% over the past year and Zillow predicts they will rise 6.7% within the next year. 

The median home value in Seattle is $588,000. Seattle home values have gone up 15.7% over the past year and Zillow predicts they will rise 6.9% within the next year. 

The median home value in Bellevue is $723,400. Bellevue home values have gone up 13.2% over the past year and Zillow predicts they will rise 5.8% within the next year. 

The median home value in Mercer Island is $1,236,700. Mercer Island home values have gone up 12.6% over the past year and Zillow predicts they will rise 6.5% within the next year.

The median home value in Clyde Hill is $2,178,600. Clyde Hill home values have gone up 9.6% over the past year and Zillow predicts they will rise 5.2% within the next year. 

The median home value in Medina is $2,354,100. Medina home values have gone up 11.0% over the past year and Zillow predicts they will rise 5.0% within the next year.


#1      1726 Evergreen Place, Seattle-Capital Hill, WA 98122 with 5 bedrooms, 4 baths, and 4,260 sq.ft. is listed for sale at $3,150,000.

1726 Evergreen Pl, Seattle, WA 98122

Gorgeous 1906 Craftsman with over 4260 sq.ft. (does not include finished 3rd story) restored and remodeled to perfection. Beautiful chefs kitchen, top of the line appliances and casual dining area. Entertaining sized living and dining rooms all opening out to an expansive deck with sweeping lake, mountain and Mt. Rainier views. Enjoy these same views from most rooms. 5 large bedrooms, high ceilings, exquisite millwork, hardwood floors and much more. 2 car gar. Short walk to lake, parks and schools

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122

1726 Evergreen Pl, Seattle, WA 98122


#2      2000 38th Avenue E, Seattle-Madison Park, 98112 with 3 bedrooms, 3 baths, and 4,010 sq.ft. is listed for sale at $2,275,000

2000 38th Ave E, Seattle, WA 98112

Wind the brick stairways and manicured hedges toward Canterbury Cottage, a beloved, shingled hideaway nestled in the heart of Madison Park. The perfect retreat from the hustle and bustle of city life, this cherished home is embraced by a private, gated garden. Prominently positioned on a corner lot with over 2000sf of one-level living on the main and a totally finished lower level. A pleasant walk to the charming Madison Park village where coffee houses and eateries meet one-of-a-kind boutiques.

2000 38th Ave E, Seattle, WA 98112

2000 38th Ave E, Seattle, WA 98112

2000 38th Ave E, Seattle, WA 98112

2000 38th Ave E, Seattle, WA 98112

2000 38th Ave E, Seattle, WA 98112

2000 38th Ave E, Seattle, WA 98112

#3     1622 5th Avenue N, Seattle-Queen Anne, WA 98109 with 4 bedrooms, 4 baths, and 4,720 sq.ft. is listed for sale at $2,850,000.

1622 5th Ave N, Seattle, WA

This Sensational Contemporary home situated on a large corner lot frames views of Lake Union, Cascade's, Seattle Skyline and Mount Rainier. Recently renovated to the highest standard this home leaves nothing to be desired. The lofty ceilings and abundant light throughout creates spacious and inviting interiors. Grand deck for superd entertaining, chef's kitchen for the finest events. Enjoy opulent living with iconic views from every level this enclave is a must see for city dwellers.

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

1622 5th Ave N, Seattle, WA

Today's Mortgage Rates

  • 30YR
    3.40%
    (+0.02)
  • 15YR
    2.75%
    (+0.02)
  • FHA
    3.22%
    (+0.02)
  • Jumbo
    3.52%
    (+0.02)
  • 5/1ARM
    2.85%
    (-0.01)

Rates as of: 9/8/16
Mortgage Rates Rise Thanks to Europe
Mortgage Rates bounced higher today, bringing them back in line with the pervasive range of the past several weeks.  As of yesterday, rates were technically at 2-week lows.  
The ultra-narrow range continues to be an important caveat for any discussion of rate movement.  Simply put, there is such a small gap between 2-week highs and 2-week lows that it could be easily traversed on an average day of movement.  Most lenders continue to offer conventional 30yr fixed quotes around 3.375% on top tier scenarios.

Today's chief concern for bond markets (which underlie mortgage rate movement) was European Central Bank (ECB) chief Mario Draghi, who stopped short of promising an extension of the central bank's bond buying program set to end in March 2017.  The program is similar to the Fed's past efforts with several iterations of QE (quantitative easing).  

Simply put, central banks buy lots of bonds.  This makes other investors want to buy bonds too, and the more bond buying that's going on, the lower it pushes rates.  Investors have already accounted for the ECB buying bonds through March 2017, and some investors expect the program to be extended.  If it's not extended, those investors SELL bonds, which puts upward pressure on rates.

While the underlying cause and effect is somewhat complex, the implications are simple.  Rates were falling nicely over the past 2 days and now they're back at risk of breaking higher.  Until such a break can be ruled out, locking makes most sense.

Loan Originator Perspectives


Yesterday may have fooled us, or perhaps today is the bluff, but at the end we are still within the recent range.  Locking loans with a closing of inside of 3 weeks is my current recommendation, with a very small tolerance for floating loans between 3-6 weeks of a closing.  If the range breaks, rates will pop, not worth the risk.  -Gus Floropoulos, VP, The Federal Savings Bank

Rates took a step back today worsening after the ECB announced no new bond buying programs.  We're threatening to break 10 year treasury's recent yield ceiling (1.6%), and if we do convincingly, who knows where we'll end up.  It's likely pricing will recover in the next few days, but if you can't afford to lose, don't gamble, lock and don't look back.  Current pricing is still close to the year's best.  -Ted Rood, Senior Originator

Today's Best-Execution Rates

  • 30YR FIXED - 3.375 - 3.5%
  • FHA/VA - 3.0 - 3.25%
  • 15 YEAR FIXED - 2.75%
  • 5 YEAR ARMS -  2.75 - 3.25% depending on the lender

Ongoing Lock/Float Considerations

  • In the biggest of pictures, "global growth concerns" remain the driving force behind the long-term trend toward lower rates
  • Amid that trend, periodic corrections toward higher rates can and will happen.  These can happen for no apparent reason, or they can be brought on by changes in expectations surrounding central bank policy at home and abroad, as well as geopolitical and systemic risks
  • Time horizon and risk tolerance are 2 variables to consider when it comes to locking.  If you have plenty of time and don't mind losing some ground, set a limit as to how much higher rates could go before you'd lock to avoid further losses, and then float in the hopes of never seeing that limit.
     
  • In the shorter-term, it's always good to look for lock opportunities after rates have been moving lower or sideways repeatedly, especially if they've since begun to move back up in any sort of consistent way.
     
  • As always, please keep in mind that the rates discussed generally refer to what we've termed 'best-execution(that is, the most frequently quoted, conforming, conventional 30yr fixed rate for top tier borrowers, based not only on the outright price, but also 'bang-for-the-buck.'  Generally speaking, our best-execution rate tends to connote no origination or discount points--though this can vary--and tends to predict Freddie Mac's weekly survey with high accuracy.  It's safe to assume that our best-ex rate is the more timely and accurate of the two due to Freddie's once-a-week polling method). 

Thanks for reading today's Blog. Looking for more information? Have a comment? Call or email me.

Sincerely,


Tom Furino

email:                  tomstopmansions@gmail.com   
phone/text        619-944-8749