Shelter Six:  Home Prices Continue to Surge

1. The Metro Atlanta median sales price surged to an all-time high of $251,250 in June, 7.4% higher than a year ago, according to the AJC.

2. The number of homes listed for sale was down to only a 2.3 months supply in June, down from 2.9 months a year ago, according to the AJC.

3. Mortgage insurance giant MGIC is following a recent trend of tightening up the debt ratio and now will only insure loans with debt ratios over 45% when credit scores are over 700.

4. The U.S. and European Union (EU) agreed last week to not escalate their trade dispute as neither will impose tariffs while the two sides attempt to work out their differences.

5. If the U.S. and EU can come to terms, there would be tremendous optimism that the same could be done with other countries, notably China.

6. Shelter’s “Dream Big” Jumbo 30-year fixed-rate loan allows up to $3M in financing with as little as 10% down with a minimum 680 credit score.

Rate Update

Investors reacted to the reduced chance of a tariff trade war last week by shifting money from bonds to riskier stocks, which had the effect of pushing mortgage rates higher.

This Week

The Core PCE Price Index is due out on Tuesday, the ISM National Manufacturing Index on Wednesday, and Employment figures on Friday.  The Fed also meets on Wednesday but no change in rates is expected this time.

July 30, 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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