Gross Domestic Product, the broadest measure of economic activity, climbed to a more normal 3.1 percent in the second quarter, up from 1.2 percent in the first quarter.
Home loan rates bounced around due to tensions with North Korea, debt ceiling debates and devastating hurricanes, but they remained just above all-time lows in the third quarter.
Home prices continued to rise.
Entering the fourth quarter, the big question is: What will home loan rates do now that the Federal Reserve announced its specific plans to unwind its $4.5 trillion balance sheet, which includes Mortgage Bonds?
News From the Fed
The Federal Reserve announced plans to unwind its massive $4.5 trillion balance sheet starting on the ninth business day of October and continuing every ninth business day of the month thereafter.
The balance sheet is made up of Mortgage Backed Securities and Treasury Bonds. The plan is designed to cause little disruption to the market.
Seeing that this has never been done before, it remains to be seen what happens over time to Mortgage Bond prices and the home loan rates tied to them.
For now, home loan rates remain just above all-time lows. Stay tuned for your next quarterly update in January.
Get in Touch:
Phone: (702) 602-6266
Fax: (702) 938-8655
Team Leader, The Tonnesen Team
Berkshire Hathaway HomeServices, Nevada
3185 St Rose Pkwy #100 Henderson, NV 89052
With over 30 years of experience helping families call Las Vegas "home!"
Related Blog Posts
Through July 2017, the Southern Nevada resale housing market continued to trend in a positive direction. Prices edged up further (+10.2 percent), closing volumes jumped from the prior year (+10.8 percent) and effective availability remained limited (1.8 months). The overall condomi...
Key Takeaways: Sellers tend to overprice and spend a tremendous amount of effort trying to defend their price, even if the market doesn't support it. Pricing a home correctly is a partnership between sellers and their agent, not a battle of wills. When it comes down to it, the most important advice...
Bark in the ParkMarch 8, 201410:00 AM - 3:00 PM Join The City of Henderson Parks and Recreation department as they celebrate the 11th anniversary of Bark in the Park. Bark in the Park activities will take place at one of Henderson’s newest parks, Cornerstone Park. Expect five hours of fun for you and your pet. B...
October 2017 Single Family Residential (SFR) closed sales were down 12.8% from October and down 4.6% compared to November 2016. Year to date 2017 closed sales are still up nearly 9% over 2016. The median closed sales price of a SFR dipped to $261,400 while the average closed sales price of an SFR dropped to $312,465...
Below is a report published in the Daily Real Estate News showing that Nevada is among the top five states Americans are moving to. But statistics in January show that single family home listing inventory, which usually increases about 10% after the December holiday season, has actually DECREAS...