WHERE ARE SAN DIEGO MORTGAGE RATES GOING?
Non-farm payrolls reported today at 156K vs. the expected 178K; the unemployment rate ticked up to 4.7%. The mortgage bond market is DOWN a quarter point. That doesn't compute.
Today's released data also signaled an uptick in wage growth. Uh oh, that means we are seeing inflation, right?
Not so fast. As Debra points out, a lot of minimum wage laws were passed; 19 states raised the minimum wage effective Jan 1. Businesses often meet those laws prior to the effective date to be in compliance.
The wage growth is probably just a reaction to legislation rather than organic growth. It's a "false positive".
I still think we see lower mortgage rates at the end of January and higher mortgage rates at the end of the summer. If you want to know how this would affect you, call me at 858-777-9751. A real conversation, with someone who has worked in capital markets for three decades, will give you greater insight