I was there with treats and hugs. That’s my job with horses.
Speaking of animals, a quick PSA (I’ve shared similar PSAs in the past) about owning a purebred German Shorthaired Pointer.
This breed is lovable, makes a great family dog, and is like Velcro in the house. That said, and this is NOT an exaggeration, they are hunting machines.
I have a grill under my deck that stays covered. I don’t use it much because I love my Blackstone… even for steaks.
Anyway, let’s just say GSP 1… Grill/Grill Cover 0.
A mouse had decided to take up residence in the grill.
It didn’t end well. 😊
Appraisal Update
A quick update about the new appraisal format.
We began ordering appraisals using the new format last week. I’ve been in touch with several appraisers on our panel to confirm they are ready, or will be ready, for this change.
As of our latest update, appraisal costs have not increased. Our appraisal management company indicated there isn’t enough history yet to justify a change.
That said, I did have a few folks tell me they would very likely need to charge more. I also heard from a listing agent who said an appraiser spent a few hours at a property working with the new format.
More to come on this.
Changes aren’t new in our industry, and eventually there will be a new normal. In the meantime, we’ll work with what we have.
I’d appreciate any feedback on what you’re seeing relative to these changes.
Market Notes
For the first time in several weeks, we saw a little light at the end of the tunnel from a rate perspective.
Mortgage rates ended last week fractionally lower.
Why? Well, it’s probably too soon to tell whether the market has found a near-term ceiling, but the final few days of last week offered a glimmer of hope.
Rates jumped to new highs Wednesday morning before fully recovering by the closing bell. Thursday was a good day, and after some selling pressure early Friday morning, we ended the day essentially flat.
Why is this important?
It appears, at least for the moment, that buyers of fixed-income assets, including mortgage-backed securities, are comfortable with yields at these levels.
There were also two Treasury auctions last week that were well received. When buyers show up at these levels, it can help set the stage for a ceiling, or a top, in rates.
So, where does that leave us?
I’m glad you asked.
This week will be an important test. We have both consumer and wholesale inflation data for September on the economic calendar.
If those readings come in at or below expectations, the market could react favorably. Higher-than-expected readings, however, could put that recent ceiling to the test.
We’ll see if last week’s improvement has some staying power.
Looking Ahead*
Hope everyone enjoyed the holiday weekend. It was a good one for some chili, football, and hockey.
My team and I are available to assist, so please feel free to reach out with any mortgage-related questions or needs.
-Steve-
*All loans are subject to credit approval and program guidelines.