Good news, Mortgage Fans – since I started my diet 12 days ago I have lost 8 pounds! Wait… that’s a typo. I’ve lost an eighth of a pound. I guess when it comes to losing weight no one cares about an eighth or a quarter. Interest rates, however? Every eighth counts, and last week they went up a handful of eighths! Don’t worry, I’m not great at math either, I’ll spell it out for you in detail below – but in the meantime let’s switch from numbers to words…
Word Quote of the Day: “Words are free. It’s how you use them that may cost you.” – Author Unknown
This Week in Economic History: It was on January 14th, 1875, The House passed the Specie Resumption Act, which put in motion a program for the Treasury Department to begin exchanging legal tender for gold. A self-proclaimed history buff, Elvis’ original title for his song was Love Me Legal Tender which he then changed to Love Me Tender on the advice of his agent. Did I make that fact up? Yes. But here are 25 true Elvis facts.
Wuss’up This Week: Every day reports about our economy are released into the wild, and it’s these reports that can sway interest rates in either direction. Today we’ve got the Consumer Price Index, tomorrow Jobless Claims, and on Friday Retail Sales which will come in higher than expected because I just bought a 24-pack of socks to celebrate 2022. If these reports come in better than expected for the economy you’ll see rates tick up, and vice versa if the numbers fall short of expectations.
Interest Rate Update: Hmmm…. I guess I can only compare today’s rates to how I looked in 8th grade when I had braces and an afro too big for my head: ugly. They went up almost a half a point the last couple of weeks due to continued inflation and the Fed tapering their bond purchases at a faster rate than they initially said they would. ( I’m on this, I left a message for the Fed yesterday). Today you’ll find a 30yr conforming fixed-rate (*that’s for any loan at $647k or less) at 3.50%, and jumbo interest rates (*over $647k) a shade less. 15yr fixed conforming in the high-2s, and some jumbo ARMs in the high-2s as well. As usual, rates will vary based on if it’s a purchase or refinance, type of home equity in the home, your credit score, and if you have a pic of real life that doesn’t look real.
Don’t Forget to Remember: Any purchase or refinance loan closing with me I will waive $575 in lender fees! Grab yourself a cup of instant karma and pass my info along to any friends, family, coworkers, or David Bowie Fans that can use this gift.
Word Quote of the Day 2: “I’m a man of my word…and that word is unreliable.” – Demetri Martin
Timeout for Trivia: Congrats to those who last week guessed Bradley Cooper. Want to be entered into a drawing to win a Cat and UFOs T-shirt? Simply email me the answer to this week’s Who Am I? question. Good luck: “It’s my birthday today, and although I live in Los Angeles you would think from my name I’d be living somewhere on the East Coast. An anagram for my name is ‘mono ball odor’ but if I really had an odor, would I have been able to date a Victoria’s Secret supermodel. I married her in 2011 and got divorced in 2013 – not bad for a Hollywood marriage. After that I dated and married a California girl, although from one of her first singles you’d think she only liked dating women… Oh Lord, I’m talking more about my dating life than my movies! I’ve been in a bunch of films – a lot of them turn into sequels. Remember a series of four movies that could be titled Marauders of the West Indies.”
