Tag Archives: Interest Rates

Commercial Capitalization Rates and 10-Year Treasuries

Had the opportunity to participate in a panel on industrial real estate this month at a national commercial conference. I was taken aback by a broker and fellow panel member that truly believed that rising interest rates would not result in a corresponding increase in capitalization rates. The panelist’s denial of a likely increase in …Read more

30-Year Residential Mortgage Rates Jump to 3.94 Percent Vs 3.57 Percent a Week Ago

One week following the U.S. Presidential election, 30-year conventional fixed-rate residential loans rocketed up 37 basis points from 3.57 percent to 3.94 percent as investors commenced dumping their low-yielding Treasuries in anticipation of rising rates due to a stronger economy. Mortgage rate data are from Freddie Mac’s weekly Primary Mortgage Market Survey http://www.freddiemac.com/pmms/archive.html?year=2016. The 37 …Read more

March Existing Home Sales Up 1.5 Percent Year-Over-Year and Up 5.1 Percent Sequentially from February — Median Price Up 5.7 Percent from a Year Ago

March 2016 existing home sales rose 1.5 percent year-over-year on a seasonally adjusted annualized rate (SAAR) of 5.33 million, which was also up 5.1 percent sequentially from February per the National Association of Realtors® (NAR). The median price of $222,700 (for all property types) in March 2016 was up 5.7 percent versus March 2015. From …Read more

A Look at Refinance and Purchase Lending Expectations for 2016

Transaction volume is the backbone for real estate professionals. Sellers selling, buyers buying — and for those impacted by refinancing – borrowers with mortgage loans refinancing are key to the livelihoods of an array of real estate professionals. Except for all-cash buyers, lending is the key metric in showing past and future transaction volumes. Lending …Read more