For the second straight week, there was little reaction to economic news. Neither key data on retail sales and inflation, nor the passage of the House tax reform bill had much effect. Mortgage rates finished the week a little lower.
It was clear from Friday’s report on housing starts that home building activity over the last couple of months was significantly impacted by the hurricanes. In October, single-family housing starts rose 5% from September. In the South, the region most heavily affected by the hurricanes, single-family starts jumped 17% from September to the highest level since 2007.
Some POTENTIAL GOOD NEWS for our industry – The Director of the Consumer Financial Protection Bureau (CFPB), Richard Cordray, announced that he will step down from his position by the end of November. During Director Cordray’s five years in office the CFPB implemented many regulatory requirements affecting the mortgage industry. President Trump will nominate the next Director and it is expected that the nominee, will favor a less regulated market.
Looking ahead, Existing Home Sales will be released on Tuesday and the minutes from the November 1st Fed meeting will come out on Wednesday. These detailed minutes provide additional insight into the debate between Fed officials and have the potential to move markets.
Please let me know if you have any questions in regards to this, or if there is anything we can do for you and your valued clients.
Thank you for your continued support, have productive week.
SVP, Regional Manager
THE CRAWFORD TEAM
V.I.P. Mortgage, Inc.