Jobs Report Scheduled Friday- Have a Mortgage Rate Locking Strategy Ready

Jobs Report Scheduled Friday-  Have a Mortgage Rate Locking Strategy Ready

 

Mortgage rates are poised to make big moves in the next 36 hours. Is it time for you to call in your rate lock on your home purchase or Refinance?

The “Jobs Report”

Friday, at 8:30 AM ET, the Bureau of Labor Statistics will release the Non-Farm Payrolls report for September. Issued monthly, the ”jobs report” offers sector-by-sector job creation figures from the month prior, and reports on the national Unemployment Rate.

Last month, exactly ZERO net new jobs were created, the government said. This month, economists expect a net 60,000 new jobs created.

Depending on where the actual monthly figure falls, FHA and conforming mortgage rates in Pleasanton may be volatile. The jobs reports tends to have out-sized influence on the mortgage bond market.

The connection between the jobs market and the mortgage market is fairly straight-forward. As jobs go, so goes the economy. This is because more working Americans leads to a stronger economic base.

  1. When more people work, consumer spending grows
  2. When more people work, governments collect more taxes
  3. When more people work, household savings increases

Each of these items are strengths to a recovering economy.

Rate Shoppers Beware

For rate shoppers, Friday’s job report could cause mortgage rates to rise — or fall. If the actual number of jobs created exceeded the 60,000 consensus estimate, look for mortgage rates to climb.

Conversely, if new jobs fell short of 60,000, expect that rates will drop.

Home affordability is at all-time highs because mortgage rates are at all-time lows. If you’re under contract for a home or looking to refinance, eliminate some of your interest rate risk. Lock ahead of Friday’s Non-Farm Payrolls release.

Get your rate lock in today.

Have a Plan for your Purchase or Refinance in the Bay Area

I love to work with readers that find my information on the Mortgage and Housing Market helpful in your decision making process. As a Mortgage Planner at Vintage Mortgage Group in Pleasanton I am in a unique position to help you capitalize at any point in the market. Contact me below today to help you with your purchase or refinance

Subscribe to our daily mortgage market emails.

Have a Question?

Legal Disclaimer
Or give us a call
925-484-5363