Housing updates November 21, 2015

Please enjoy this quick update on what happened this week in the housing and financial markets.​​

• Fed minutes show that members think the economy can handle a policy rate increase. Over 70% of economists now think the Fed will hike rates in December.
• Markets have already started preparing for a Fed policy rate increase in December, contributing to recent mortgage rate increases.
• Weakness in retail sales and producer prices make it unlikely that inflation will rise significantly. Low inflation can help mitigate a trend toward rising rates.

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• Housing starts were down in October due to a decline in apartment construction. Overall though, the trend in housing starts has been steadily improving.
• Highlighting the housing market's strength, building permits were up 4.1%. Permit activity portends more supply and healthy construction spending.
• Homebuilders continue to remain upbeat about the market and outlook for real estate. Strong demand and limited inventory make new homes essential.

"Thanksgiving is an emotional holiday. People travel thousands of miles to be with people they only see once a year...and then discover once a year is way too often." - Johnny Carson
 
Please note: We will not publish updates next week. Wishing you a wonderful Thanksgiving Day!
Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.

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