• Skip to main navigation
  • Skip to content
  • Skip to footer

Quick Search

Parkland FL Homes for saleParkland FL Homes for sale

Search homes for sale in Parkland and surrounding areas

  • Home
  • Search
    • Advanced Search
    • Featured Properties
    • Newest Homes for Sale
    • Upcoming Open Houses
    • My Account / Login
  • Area
    • Parkland
    • Boca Raton
    • Coconut Creek
    • Coral Springs
    • Margate
    • Tamarac
  • Buy
    • Steps to Buying
    • Mortgage Calculator
  • Sell
    • Free Home Valuation
    • Marketing Your Home
    • Selling your Home with Jon Klein
  • Reviews
  • Contact
SearchClose

What’s Ahead For Mortgage Rates This Week – October 31, 2016

Last week’s economic reports included S&P Case-Shiller Home Price Indexes, along with readings on new and pending home sales. Recurring weekly reports on mortgage rates and new jobless claims were also released.

Case-Shiller: Pacific Northwest Shows Fastest Home Price Growth

According to the Case-Shiller 20-City Home Price Index for August, home prices in Portland, Oregon and Seattle, Washington grew fastest year-over-year. Portland posted an August index reading of 11.70 percent and Portland followed closely with a reading of 11.40 percent. Denver, Colorado rounded out the top three cities with the fastest rates of home price growth with a year-over-year reading of 8.80 percent. The 20-City Home Price Index rose 0.30 percent year-over-year to 5.30 percent in August.

Low inventory of available homes poses challenges for housing markets, but Case-Shiller reported that the national home price index was 0.60 percent lower than its peak reading in 2006. The 20-City Home Price Index was 7.10 percent lower than the 2006 peak. This provides a positive context for healthy home price growth, but concerns linger about a repeat of the housing bubble that burst and caused home prices to crash.

David M. Blitzer, Chairman of the S&P Index Committee said that a new housing bubble is unlikely. Home buyers are not taking out huge mortgages as was common prior to the Great Recession; mortgage lenders have adopted stricter qualification standards to help ensure that borrowers can afford their mortgages.

New Home Sales Rise in September

Sales of new homes rose to a seasonally-adjusted annual rate of 593,000 sales in September according to the Commerce Department. Although lower than analysts’ expected reading of 600,000 sales, September’s reading surpassed August’s reading of 575,000 sales. August’s reading was downwardly revised from its original reading of 609,000, which suggests that new home prices are growing at a slower rate than expected.

High demand for homes boosted September’s reading for pending home sales, which represents homes under contract for sale that have not closed. Pending home sales increased in September with a reading of 1.50 percent growth as compared to August’s negative rate of -2.50 percent. Pending home sales provide indications of future completed sales and mortgage loan volume.

Mortgage Rates Rise, New Jobless Claims Fall

Mortgage rates were lower last week according to Freddie Mac’s Primary Mortgage Market Survey. The average rate for a 30-year fixed rate mortgage fell five basis points to 3.47 percent; rates for a 15-year fixed rate mortgage averaged 2.78 percent, which was one basis point lower than the prior week’s reading. The average rate for a 5/1 adjustable rate mortgage was also one basis point lower at 2.84 percent. Average discount points were 0.60, 0.50 and 0.40 percent respectively.

In spite of growth in home prices and volume of sales, consumer confidence slowed in October. October’s index reading of 98.60 as compared to an expected reading of 101.00 and September’s reading of 103.50. Analysts said that uncertainty over the upcoming presidential election contributed to October’s lower reading.

What’s Ahead

Next week’s scheduled economic reports include readings on inflation, construction spending core inflation, and labor reports. Non-farm payrolls, ADP employment, national unemployment rates will also be released. Freddie Mac’s mortgage rates report and new jobless claims will also be released.

Posted in: Mortgage Rates Tagged: Home Sales, Mortgage Rates

Post navigation

« 5 Futuristic, Connected Home Upgrades That You Can Install This Fall
Staging Tips: 5 Interior Paint Colors That Will Help You Sell Your Home Faster »

Contact Jon Now

Parkland FL REALTOR®Jon Klein, REALTOR®, P.A.,GRI

954-415-5595 Direct

954-449-9325 Office

954-827-0464 Fax

jon@jonklein.com

5691 Coral Ridge Drive
Coral Springs, FL 33076

RE/MAX 1st Choice Logo, Coral Springs, FL
Jon Klein Team Logo, Parkland, FL

Connect with Us

© 2025 · RE/MAX 1st Choice, Jon Klein · Direct: 954-415-5595 · Fax: 954-827-0464 · Sitemap · IDX Sitemap · IDX XML Sitemap · Parkland FL Homes for Sale · Privacy Policy | Accessibility Statement

Disclaimer - All Rights Reserved by RE/MAX 1st Choice, Jon Klein
Direct: 954-415-5595 | Find me on Google | Directions to Jon Klein

Log in · Real Estate Websites by Real Estate Websites by YourSiteNeedsMe.com