Rates UP--Just an Aberration:
Rates this week really spiked--3.625% for 30 year fixed rates. But my mortgage broker friends tell me it's not the start of an overall increase in the rate market. One of them described it as, "August--everyone's in the Hamptons and nobody's trading bonds." So, few trades on the bonds that underlie the mortgage market and everyone not on the beach covers themselves to protect themselves, with the result that rates climb. Check back after Labor Day when the bond traders are back at their computers and the kids are back in school.
Separately, in stats just out today, the median price for Marin climbed in July by over 3%. Fueled by a drastic shortage of inventory, what else could happen? However, it wasn't a clear rise across the board. A few towns actually showed a drop in median price, Mill Valley among them.
What does all of this mean? My litany remains unchanged. Whether you're a buyer or seller, the market conditions couldn't be better to get involved. There are lots of buyers out there with cash in hand, benefiting sellers. For buyers, low rates, even at 3.625%, still makes it a great time to be buying.
Questions/need assistance? Give us a call: Peter: (415) 279-6466; or Jane: (415) 531-4091.