News You Can Use from Gary Moore

Weekend Market Update

Jan. 8-9, 2011

If market lore holds true this year, stocks will be higher at the end of 2011 than they are today. When stocks rise in the first trading week of the year, they end the year higher 74% of the time, according to TheStreet.com.

The three major indexes concluded the week with gains---the Dow Industrial average up for a sixth week in a row---although the averages were down on Friday after bank stocks took a hit on fears that they may be held accountable by the courts for their foreclosure practices.

A Massachusetts court ruled that US Bancorp and Wells Fargo had wrongly foreclosed on properties by not proving they actually owned the mortgages at the time of foreclosure.

Mortgage interest rates ended the week largely unchanged, after being swayed higher on Wednesday and settling lower on Friday on the heels of conflicting employment data. Automated Data Processing (ADP) said private sector payrolls would be up by 297,000 in December--- perceived strength in employment is bad news for bonds and mortgage rates and good news for stocks. By Friday, the Labor Department said jobs rose by 103,000 in December, and rates and yields settled back down.

Federal Reserve Chairman Ben Bernanke told Congress that while the economy was improving, it could take four to five years for employment to get back to normal levels.

Housing is a key variable in the outlook for the economy and job creation. The housing market again this year starts with a good reason to improve---mortgage interest rates in the range of all-time lows. Although rates have been more likely to rise than fall since November, extremely low rates continue to give owner occupants and investors good reason to invest in real estate now while prices are low as well.

The 10-year Treasury closed at a yield of 3.3%.

Contact me to prepare for homeowners a refinance scenario, or to pre-approve a prospective buyer or to provide marketing tools for Realtors and Builders. Gary Moore 615-579-8658, email Gary@BrentwoodHomeLoan.com.

First Community Mortgage is part of a locally owned community bank, and we control the loan process in-house as we underwrite all conforming and government loans. We fund the closings with our money, so no one has to wait on a distant wholesale division of a massive, national corporation to send funds.

30-Year Conventional Fixed

4.75% $200,000-$417,000

15-Year Conventional Fixed

4% $200,000-$417,000


30-Year FHA-100% VA

4.75% $100,000-$393,300


30-Year Jumbo Fixed

5.5% $417,001-$900,000

(Interest-only available-Call me)

THDA Great Start

4.85% $100,000-$393,300

4% of sales price Gift

Call for free pre-approval and to discover

the best financing for you!

...by Gary Moore

Mortgage Planner, First Community Mortgage

...a subsidiary of First Community Bank

Cell: 615-579-8658 Toll-free fax: 866-321-6513

Quote of the Day

"True individual freedom cannot exist without economic security and independence. People who are hungry and out of a job are the stuff of which dictatorships are made." - Franklin D. Roosevelt

Visit my mortgage website:

http://www.BrentwoodHomeLoan.com

(0% points, 1% origination. Market Update informs consumers and Realtors on market trends, offers subjective opinions and is not a quote for a unique borrower.)