Eh, What's Up Doc? Homebuyers Still Hoppin' Despite Rate Hike!

Of Course It's Happening Again!

Eh what's up doc? It's me Bugs Bunny here to give ya the real scoop on what's cookin' in the housing market! So these mortgage rates see? They've been climbin' like me tryin' to outrun Yosemite Sam! Up for the third week in a row reaching levels higher than a Acme rocket launch! But hold on to your carrots folks because some homebuyers are still sayin' "This looks like a good place for a home!"

Homebuyers Are Sayin' YES!

Now get this! Despite those pesky rates mortgage applications to purchase a home actually JUMPED 2% compared to the week before and a whopping 18% higher than last year! Seems like some folks are thinkin' "I know I'll build it myself!"... or maybe they're just findin' some good deals! According to some official sounding "Mortgage Bankers Association," they're callin' it a seasonally adjusted index. Well ain't that a mouthful! I call it: Buyers wanting to buy!

Interest Rates Are Way Up There!

So these interest rates... for the 30 year fixed rate mortgages (for you city slickers that means it lasts for a long time!) with conforming loan balances (that's $806,500 or less for you penny pinchers) increased to 6.98% from 6.92%. I know what you are thinking... "Ain't I a stinker?" No! The Mortgage Companies are the stinkers! But hey at least the points decreased a bit! Every little bit helps right?

Inventory to the Rescue!

Some fella named Joel Kan an MBA economist (must be related to Yosemite Sam!) says that "increased housing inventory" is helpin' support some transaction volume despite all the "economic uncertainty." Translation: There's more houses available! And now that I think about it maybe I should buy a house... a HUGE luxury mansion... with a pool!

Refinances Take a Dive!

Now the folks lookin' to refinance? Well they're takin' a hit. Those refinance applications fell 7% for the week. But hey it's still 37% higher than last year so don't go cryin' to your mommy! Even these "conventional refinances" and "VA refinances" took a tumble. It's like they're yellin' "I surrender!"

Hold On to Your Carrots Folks!

To start this week the rates dipped slightly after some report on consumer confidence came out. Some other fella named Matthew Graham says "Weaker labor conditions tend to push rates lower." Sounds like the bond market is improvising after the report came out! So keep your eyes peeled folks! The market's changin' faster than I can hop to Albuquerque! And remember "That's all folks!"... for now! Bugs out!