Delaware mortgage rate weekly update for week of July 9, 2012 by John R. Thomas from Primary Residential Mortgage in Newark, Delaware. John is the branch manager and the author of the book, Your Guide to Buying Your First Home in Delaware. Call 302-703-0727 to get a free mortgage planning consultation or APPLY ONLINE for Delaware mortgage loan
Delaware mortgage rates set another all time record low on Friday July 6, 2012 after a very disappointing Jobs Report was released for June 2012. The jobs report is released by the Bureau of Labor Statistics. The June Jobs report released that only 80,000 jobs were created in June which was well short of the anticipated 100,000 expected. There was also a revision of April and May job reports resulting in another 1,000 less jobs created than originally reported. We need about 150,000 new jobs each month just to keep up with population growth. Overall, employment growth during the second quarter of 2012 averaged about 75,000 jobs per month compared with more than 200,000 during the first quarter.
The unemployment rate held steady at 8.2% and the labor participation rate remained at 31 year low! The US economy is really struggling and only producing a 2% GDP. This is not enough to get people back to work so unless something changes the labor numbers will continue to disappoint. This means mortgage interest rates should remain at or near all time historic lows throughout 2013.
The jobs report could very well prompy the Federal Reserve Board to institute QE3 at their next meeting which is another round of the Feds buying bonds. This could initially give the stock market a boost so could negatively effects rates in the short term. The next meeting is September 2012 so now is a great time to purchase or refinance a home in Delaware.
Congress finally approved a long term fix to the National Flood Insurance problem by a 5-year reauthorization of the National Flood Insurance Program (NFIP). The National Flood Insurance Program suffered through over 18 short-term extensions and hobbled along for the last four years without a long-term reauthorization forthcoming from D.C. The bill was signed into law July 6, 2012 by President Obama. NAR was a key supporter that finally helped this bill get passed through Congress.
In the local news, Delaware Bill HB166 did not make it to the House for a vote this time around. HB 166 is a bill to exempt first time home buyers in Delaware from the real estate transfer tax. Hopefully next time the House is in session they will bring it up for a vote. Please reach out to your representative to vote for this bill as it will have a positive impact on Delaware Real Estate Market.
I am recommending LOCKING in your Delaware Mortgage Rate if you are closing in the next 30 days to take advantage of the lowest rates ever in history! Call 302-703-0727 to schedule a free mortgage consultation to get pre-approved for a mortgage to purchase a home or to refinance your existing mortgage to lower your rate and sace thousands of dollars in interest. There are several special government refinance programs to help underwater Delaware home owners refinance. There is the FHA Streamline Refinance Program, the VA IRRRL Streamline Refinance Program, and there is the HARP 1.0 and HARP 2.0 refinance programs. Call us or e-mail us now to get more information or you can APPLY ONLINE.
The next Free Delaware First Time Home Buyer Seminar is Saturday July 21, 2012 in Newark, Delaware and Tuesday July 24, 2012 in Dover, Delaware. Register by calling 302-703-0727 or Register online at Delaware Home Buyer Seminar
The next Free Maryland First Time Home Buyer Seminar is Saturday July 28, 2012 in Towson, Maryland. Register by calling 410-412-3319 or Register online at Maryland Home Buyer Seminar
John R. Thomas
Certified Mortgage Planner – NMLS 38783
Primary Residential Mortgage, Inc.
248 E Chestnut Hill Rd
Newark, DE 19713