30-Second Update:  Stock Market Volatility Pushes Mortgage Rates to 2-Month Low

Rates for home loans have tumbled for a third straight week, and now represent a 2-month low during the week of December 6th.  Freddie Mac’s Chief Economist Sam Khater said, “this week’s rate reaction to the volatile stock market is a welcome relief to prospective homebuyers who have recently experienced rising rates and rising home prices.”  For the week ending December 7th, the Dow 30 was down 559 points, or 2.2%, the S&P 500 was off by 63 (2.3%), and tech-heavy NASDAQ fared the worst of the lot, tumbling 219 points (3.1%).

This recent pullback in mortgage rates not only represents a reprieve for homeowners in the market to purchase, but also for homeowners looking to refinance or take cash-out of their current residence.  Amid the recent pullback in rates and volatility in the stock market, the Federal Reserve officials have continued their indication that their will be a December rate hike at its next meeting, taking place on December 18th and 19th.  In addition to the expected December hike, the Federal Open Market Committee is projecting three more hikes in 2019. 

Holiday Version: Did you know? 3.1% of the world’s children live in America, but they own 40% of the toys consumed globally!