News You Can Use from Gary Moore

Weekend Market Update

Feb. 27-28, 2010

Mortgage-backed securities and Treasuries regained in the last week of February most of what they lost the third week of February and closed in the trigger-pulling, locking range of low mortgage rates just days after market watchers feared the sky was falling. An ongoing scenario of low inflation and a weak economy continue to keep a lid on rates.

Much fanfare has been given to the Fed’s decision to stop buying mortgages, and the concern is that rates will be compelled to rise to attract sufficient numbers of less benevolent investors. When it became apparent earlier this week that everybody---every expert and analyst---got on the same side of the question, that rates were going up-up-up, I started having second thoughts. When “everybody” is saying the same thing, and is taking the same position, the sport is gone and something is wrong. The markets tend to confound the most possible people—even so-called experts—at the worst time.

The market’s action gave a second chance to borrowers and refinancers who thought they had missed the boat with rates rising swiftly last week. All of that said, I still believe the line of least resistance is for rates to go up. And, I think the “experts” are probably right that rates will increase this year, although modestly.

The 10-year Treasury closed at a yield of 3.6%.

Contact me to lock in a refinance rate or get pre-approved for a purchase and snag a piece of this historically favorable time for buying real estate and obtaining financing.

Stocks ended February with a gain of 2.6% in Dow terms, closing at 10,325. Investors welcomed a report from the Commerce Department saying that GDP grew at a 5.9% annual rate in 2009's fourth period, the fastest rate since the third quarter of 2003.

30-Year Conventional Fixed

4.75% $100,000-$417,000


FHA-100% VA

5% $100,000-$393,300


100% Guaranteed Rural Housing w/no MI

5.5% $100,000-$417,000

30-Year Jumbo Fixed

6% $417,001-$900,000

(Interest-only available-Call me)

Call for free pre-approval and to discover

the best financing for you!

...by Gary Moore

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

"If you board the wrong train, it is no use running along the corridor in the other direction." - Dietrich Bonhoeffer

Visit my real estate website:

http://www.RealCarte.com

Visit my mortgage website:

http://www.BrentwoodHomeLoan.com

(0% points, 1% origination, subject to program and lock period. Market Update informs on market trends and is not a quote for a unique borrower.)