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Wednesday, January 20, 2016

Home Buyers May Get Helping Hand From Stock Meltdown


Concerns about the Chinese economy has helped push down mortgage rates to a two-month low, with the 30-year mortgage rate dropping to 3.92 percent in mid-January. Although the Federal Reserve boosted a key short-term rate in December for the first time in almost 10 years, the rate hike has not translated into upward pressure on long-term Treasurys or home mortgages. Meanwhile, improvements in the labor market should boost new construction and home sales this year, barring any slowdown in the economy related to the issues in China. With mortgage rates low and an increased supply of homes for sale putting a damper on home-price gains, experts say conditions should be easier for home buyers.

From "Home Buyers May Get Helping Hand From Stock Meltdown"
MarketWatch (01/19/16) Bartash, Jeffry

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