How ‘bout Orion’s rates! Our AEs pride ourselves on products and service, but mortgage rates are obviously part of the equation, especially for those of your clients who are refinancing their home to pay off 30 percent credit card debt. It is good to know for Orion’s brokers to know what is happening in the markets.

Rates have come down, and stocks pushed higher on Friday and over the last few weeks. The S&P 500 and Dow Jones indexes recording their highest levels in more than a year, after Federal Reserve Chair Jerome Powell supported the market consensus view that key interest rates have peaked. Powell said "tight monetary policy" was slowing economic activity, which traders and investors chose to interpret as a signal that the Fed likely is done with rate hikes, even if the central bank hasn't actually said so.

But Jerome Powell isn’t the only one voicing thoughts. In addition, Fed Governor Christopher Waller said monetary policy was tight enough, even though inflation was still too high. This helped to briefly send the 10-year Treasury yield below 4.4 percent, its lowest level since the middle of September.

Our brokers should know that the decline in rates and the strong rally in stocks sinceearly November have been attributed to easing inflation, declining long-term U.S. Treasury yields and mortgage rates, and expectations for rate cuts next year. The benchmark 10-year Treasury yield, which hit 5 percent in October, fell 24 basis points (about .25 percent) this week to end at 4.22 percent, it slowest yield since early September. The three major stock market indexes ended the week higher for the fifth straight week, with the Dow rallying 2.4 percent, the S&P rising 0.7 percent and the Nasdaq Composite climbing 0.4 percent.

Orion’s lower mortgage rates are good news for your clients who are home buyers. Whilespring and summer months tend to be the busiest seasons to buy real estate, becoming a homeowner during the off season has perks. Buyers know that if a home is listed in the colder months, it could mean there is urgency, like a job relocation or life change. That might mean more room for price negotiations!

Experienced brokers know that at this time of year there is less competition for buyers. Many potential buyers take a break during the winter months, and then start their search again in next year’s home buying season. For off-season home hunters that means less competition.

But brokers will tell clients that buying a home shouldn’t be based on the weather, or necessarily the season. It’s a major financial decision and understanding the total cost of monthly payments is important. So, before your client finds a wishlist home, calculate how much they can afford. And the lower rates from Orion are helping exactly that.

‍

‍

‍

‍