Mike Hendrickson's Real Estate Blog

Higher rates are hurting the housing market.  Here are some key points-   1. A one percent increase in mortgage rates= -13.4% decrease in affordability. 2. 30 year fixed mortgage at the highest level in 2 years. 3. 30 year fixed rate mortgage rises to 4.46% up from 3.93% two weeks ago.  And up fr...

There is a lot of debate out there if the Fed can really "taper off?"  If you recall the 1930"s when the Feds "tapered off" too much and the economy went down again?  Will this happen again? The Day Ahead: PMI, Consumer Sentiment           Growth in business activity has slowed sharply this mont...

Home prices are heading higher, but with every 1% increase in interest rates, it means a 13% drop in affordability.  So, yes, eventually if mortgage interest rate increase too much, we will see it reflected in lower sales.   The Day Ahead: Jobless Claims, Personal Income, Pending Home Sales Index...

Higher interest rates have slowed mortgage applications.  Mortgage applications are down 2% from last week, and with each increase more buyers are not able to afford homes. Average for the 30 year fixed is 4.46% This is a 1.11% above the rates from just a month ago! Check out my web site at www.m...

Rates are down slightly, and home prices went up the most in the last 7 years.  Home prices are up 12.1% from a year ago, and up 2.5% since March.  But recent reports from Redfin say that there are signs that housing is slowing down due to the interest rate increasing.  Redfin CEO Glenn Kelman wa...

Interest rates are way up!  The ten year note is shooting up too!  We'll have to see when the higher rates will slow down price increases!   Go to our web site www.myslohomefinder.com for all your San Luis Obispo County home search needs!     The Week Ahead: Volatility is the Name of the Game    ...

Mortgage rates are heading higher!  We will see the high 4% range in the next month or two, and the Fed. is going to start tapering in the latter part of the year.  They have already promised this!  All those fence sitters and refi's need to get on the ball! Go to our web site at www.myslohomefin...

In our constant research to inform our clients and blog readers the status of mortgages and real estate prices, we talk, off  the record, to a number of sources in the real estate and banking industry.  Most of our sources agree that we are looking at higher interest rates in the future.  As the ...

Rates are going up!  The conventional 30 year mortgage is at 4.25%!  All of the trend lines are broken, and we are going up from here! Check out my web site at www.myslohomefinder.com for all your home search needs in San Luis Obispo County.     What's ahead today- Absence of Data, Presence of Ho...

The news that Chairman Bernanke wants to start to taper off put a big scare into the market.  Also bad news about China's manufacturing slowing and credit bubble dropped commodities and developing and resource exporting nations.  Mortgage rates are up today, and we expect them to rise much more! ...