We didn’t wait until January to raise conforming loan limits — we raised them by 7% now! We want your clients to be able to afford their dream home today.
PrimeLending has raised conforming loan limits for eligible fixed- and adjustable-rate loans locked on or after October 1, 2024. So, your clients can stop waiting for the market to change and start their homebuying journey now.
Contact me to find out how much more home they can afford!
Weekly Market Update
Mortgage rates rose this week, due to more guidance from Fed Chair Powell and oil prices surging stoking fears of a pickup in inflation. Geopolitical risks were a driver in rates this week. The latest headlines have sent oil higher the past few days, pushing rates higher along with it. In economic data, JOLTS and ISM Services Index both came in hotter than expected. JOLTS shows the job openings in the labor market, so increasing openings shows that the labor market is healthy, at least looking at job openings. How strong the labor market is will likely dictate the speed of the Fed rate cuts. Fed Chair Powell said this week that their base case is to expect two 0.25% cuts for the rest of the year. If the unemployment rate is stable, the Fed will likely cut 0.25% at each meeting for the time being. The unemployment rate ticking up would get the Fed to do larger cuts of 0.5%. If the unemployment rate falls, along with a pickup of inflation, the Fed may pause. It’s been a volatile week; but hopefully there’s some positive momentum in rates next week and a continuance with the larger trend for lower rates.
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U.S. 10-year Treasury on Thursday afternoon is at 3.85%.
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Initial Jobless Claims came in higher than analyst’s expectations (2225k claims vs expectations of 221k).
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JOLTS Job Openings came in higher than analyst’s expectations (8.040mm openings vs expectations of 7.693mm openings).
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ISM Manufacturing Index came-in with analyst’s expectations (47.2).
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ISM Services Index came in higher than analyst’s expectations (54.9 vs expectations of 51.7).