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If you are looking for a Mortgage Professional who will give you the type of service that you deserve, contact Bob Amato (NMLS # 8632) and Empire Home Mortgage Inc. (NMLS # 44882). We answer our phones seven days a week until 9PM. Put us to the test! Our toll free number is (866) 742-5227.

 Visit our website, www.empirehomemortgageinc.com . There you can get answers to all of your financing questions, view rates and search for foreclosed properties.

 If you are considering locking in an interest rate for a New York mortgage or a Florida mortgage, read this post.

 Wednesday’s bond market has opened down slightly despite early weakness in stocks. The stock markets are showing noticeable losses with the Dow down 64 points and the Nasdaq down 4 points. The bond market is currently down 2/32, which will likely push this morning’s mortgage rates higher by approximately .125 of a discount point.

 March's Goods and Services Trade Balance report was released early this morning, showing a larger than expected trade deficit of $48.2 billion. The variance from forecasts was not enough for this data, which is generally of low importance to the bond and mortgage markets, to influence mortgage rates. It was this week’s least important economic report and had little impact on this morning’s trading.

 There is also a fairly important Treasury auction being conducted today. The Treasury Department is selling 10-year Notes in this auction, with results being posted at 1:00 PM ET today. The mortgage market will be interested in this sale as it will give us an indication of investor interest in longer-term securities. If the sale goes well, meaning investor demand was strong, we should see the broader bond market move higher this afternoon. That may lead to downward revisions in mortgage rates as funds move in bonds. However, a weak sale could cause bond selling and upward revisions to rates later today.

 Tomorrow brings us the week’s first important economic data, starting with April's Retail Sales report at 8:30 AM ET. This is an extremely important report for the financial and mortgage markets since it measures consumer spending. Consumer spending makes up two-thirds of the U.S. economy, so this data can have a pretty significant impact on the markets. Current forecasts are calling for a 0.6% increase in sales from March to April. A weaker than expected level of sales should push bond prices higher and mortgage rates lower tomorrow morning as it would signal that economic activity may not be as strong as thought. But a larger increase could fuel fears of economic growth that would lead to bond selling and higher mortgage rates.

 April's Producer Price Index (PPI) will also be released early tomorrow morning. It helps us measure inflationary pressures at the producer level of the economy. If this report reveals weaker than expected readings, indicating inflation is not a concern at the producer level, we should see the bond and stock markets rally. The overall index is expected to show an increase of 0.5%, while the core data that excludes more volatile food and energy prices has been forecasted to rise 0.2%. No change or a decline in the core data would be ideal for mortgage shoppers because inflation is the number one nemesis for long-term securities such as mortgage-related bonds.

 In addition to the two extremely important economic releases, we also have the 30-year Bond sale and weekly unemployment figures to watch. I think the two monthly reports will have the biggest influence on the markets and mortgage pricing tomorrow, but either of the other events could help fuel the selling or buying in bonds that the key data starts. Although they are worth mentioning, it is unlikely that the weekly unemployment figures or bond auction will reverse the morning direction of the bond market. In other words, the tone for the day will be set by the Retail Sales and PPI data.

 If I were considering financing/refinancing a home, I would.... Lock if my closing was taking place within 7 days... Lock if my closing was taking place between 8 and 20 days... Float if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now... This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.

Empire Home Mortgage Inc. is a registered Mortgage Broker with the NYS and Florida Banking Depts and our loans are arraneged through third party providers.

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