30 Sep Rate Lock Warning
We have great news in the housing market this morning. The pending homes sales report showed an 8.8% increase from the prior month. This is the highest month over month gain that we have seen since this measurement started around 20 years ago. This is all happening at the same time that we are seeing housing inventory plummet to near an all-time low. This paired with the chance that mortgage rates remain low will result in large home appreciation in the future.
The job creations report came in a little higher than expected. This is awesome news; however, we are still about 11 million jobs short from where we were pre-COVID.
Stocks are up this morning after the debate (or whatever you would like to call it) last night. Mortgage backed securities are down today after hitting a ceiling of resistance. We are still well above our double floor but have a good amount of room to fall before the floor. We are holding a strong locking bias.