Portland Mortgage Market Update — June 21, 2024

Rates pretty much held to where they started at the beginning of this week, which is a win in my book. There is a wide range in moving averages that mortgage bonds are currently trading between, meaning if things worsen or improve they can do so very quickly. So, to end the week somewhat static from where we started provides some stability going forward in hopes that we get some more favorable news in the weeks to come.

Speaking of upcoming news- the PCE report drops next Friday. The PCE report is the Fed's preferred tool for measuring inflation. If it comes in lower than expected it would show that inflation is easing and could give the Fed enough evidence to cut rates sooner. There is also a GDP revision coming out on Thursday and June's Consumer Confidence report on Tuesday, and both will shed some light on the real and perceived strength of the economy, which could also weigh on the Fed's decision.

Finally, we got some housing data today and things seem to be trending in the right direction. Inventory is up almost 19% year over year, putting it at a supply of 3.7 months (although a normal market would have 4.6 months of supply). Houses are sitting for an average of 24 days on the market and 30% of them are selling for over the list price. All of this shows that it is a competitive market (I am preaching to the choir here, I know) and buyers should be fully pre-approved and ready to go.

Speaking of which- I am around all weekend if you run into any buyers that need such a pre-approval. Or even if there are just general questions- feel free to reach out anytime. I am happy to help do whatever I can to help you put a transaction together.