Shelter Six:  Stronger Than Expected Jobs Reports Boost Optimism

Strong economic data released last week suggests an economic recovery is off to a much faster start than anticipated.

On Wednesday, the monthly ADP Payroll Report was expected to show a loss of 9M jobs, however, only 2.76M jobs were lost.

Then on Friday, the Employment Report came in substantially stronger than expected.  Projections were for 8M jobs to be lost, but 2.5M jobs were actually added!

Unemployment was projected to surge to 20% but actually fell from 14.7% to 13.3%.  Unemployment claims have now decreased for 9 straight weeks.

Shelter’s Jumbo loan program is back, but the Jumbo world has very strict requirements right now such as 20% down, 700 credit scores, and few exceptions.

The Jumbo Blend 2-loan “piggyback” alternative remains a great solution and requires only 10% down while allowing lower credit scores and more moderate guidelines.

Rate Update

Mortgage Rates bumped up a small amount last week after the series of strong economic reports were released but still remain near all-time lows.

This Week

The Federal Reserve meets again on Wednesday and is expected to continue with a posture of watchful waiting with no changes to short-term rates. CPI figures are also due out on Wednesday.

June 8, 2020 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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