Economist's Commentary: June 4, 2008
Quick Take on the Economy: June 4, 2008
By Ken Fears, Manager of Regional Economics
Mortgage Applications - Mortgage Bankers Association
- Fell 5.4%, from 352.7 to 333.6, this week.
What does this mean for Realtors® and consumers?
- Applications remain well off their level from the same period in 2007.
- Rates are back on the rise as is consternation about the economy and prices at the pump. Rates should remain historically low through the end of the summer, but consumer attitudes should improve later this year, leading to more sales.
Daily Forecast Update
- NAR's monthly official forecast as of May 7th (15K PDF)
- GDP Q2: 1.0%
- GDP Q3: 2.1%
- Unemployment rate by election time: 5.5%
- Average 30-year fixed mortgage rate in June: 6.2%
- Average 30-year fixed mortgage rate in December: 6.3%
- The next Fed policy change: a rate hike in January 2009.
This is one in a series of commentaries by the Research staff of the National Association of REALTORS®. Read more commentaries >
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