This week in Mortgage

The week ahead:

Tuesday: New Appreciation Readings for November from the Case Shiller HPI and FHFA HPI

Wednesday: Mortgage Apps, ADP Employment Report, JOLTs, Fed Statement/Press Conference

Thursday: Initial Jobless Claims, Job Cuts Report, Jobs Report Strategy

Friday: BLS Jobs Report for January

What it all means:

We are expected to have another Fed hike on the the Fed Funds Rate at 25bps on Wednesday and we are hoping that this will finally be the peak of the rate push to battle inflation. The remaining reports this week will continue (or we hope) to show a weakening economy, a continued push towards a possible recession and a drop in inflationary metrics.

All of this is bond friendly and as the bond turns the corner it will only help us on mortgage rates. However, there is a flip side to this. As we approach the typical busiest months of the year for real estate the fact interest rates are likely to lower and with continued inventory shortages… now is a good time to make that move. Don’t wait.