Shelter Six:  Federal Reserve Bumps up Rates .25%

1. As expected, the Federal Reserve increased short-term rates by .25% last week.  The net effect on mortgage rates was minimal.

2. For the third straight month, Retail Sales were much higher than expected with solid gains in May.

3. After weak Retail Sales reports over the first quarter of the year, investors’ concerns about the economy have eased.

4. Self-employed buyers now have a mortgage alternative without the need for tax returns or income documentation.

5. Shelter’s “SmartSelf” program allows a self-employed buyer’s income to be calculated exclusively from bank statements.

6. The program requires only 10% down with no PMI and a 620 credit score while allowing for a Bankruptcy or Foreclosure as recent as two years ago and up to 15 financed properties.

Rate Update

Both Federal Reserve and European Central Bank meetings last week influenced rates slightly with mortgage rates ending the week a little lower.

This Week

It is a light week for economic reports with Housing Starts due out on Tuesday, Existing Home Sales on Wednesday, and the Philly Fed Regional Manufacturing Index on Thursday.

June 18, 2018 by · Leave a Comment

About James

James A. Williamson is currently the Sr VP of Sales Development for Shelter Lending Services (formerly Fairfield Mortgage). James joined Shelter in 1994 and was the company's top Loan Officer in GA for 20 straight years helping over 2500 families finance their homes. James now oversees an incredible group of Loan Officers in Atlanta while further building Shelter's Atlanta business.

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