Maryland Mortgage Rates Weekly Market Update for the Week of May 5, 2014 from John R. Thomas with Primary Residential Mortgage in Towson, Maryland. John is the author of the book, Your Guide to Purchasing Your First Home in Maryland. Call 410-412-3319 to get a free mortgage planning consultation or APPLY ONLINE for Maryland mortgage loan.
Maryland Mortgage Rates fell for the second straight week as mortgage bonds rallied. Looking at the mortgage bond chart you can see the green candles each day last week show bonds closing higher than they opened. As the bonds closed higher, mortgage interest rates moved lower. The short term trend is for bonds to continue to rally so we are recommending FLOATING your Maryland Mortgage Rate to start the week.
In Economic News, the Labor Department released the April 2014 Jobs Report on Friday May 2, 2014. The Jobs Report showed that 288,000 jobs were created in April which was up from 203,000 jobs created in March and was even above expectations. The jobs report as released the unemployment rate at 6.3% which is a drop from 6.6% last month. But all was not rosy with the report as the LFPR dropped to a 35 month low of 62.8%. The LFPR measures the number of people 16 years and old eligible to work that are working. The LFPR showed that over 800,000 people left the work force which caused the drop in unemployment rate not people going back to work.
The Gross Domestic Product (GDP) for the first quarter of 2014 was released last week and it came in at an anemic 0.1% well below expectations and way off from fourth quarter of 2013 which was 2.6%. The low GDP shows weakness in the economic recovery and can’t be blamed just on a harsh winter. If the GDP doesn’t improve that could signal more woes to come for the fragile economy.
The Weekly Initial Jobless Claims were released on Thursday and showed an increase to 344,000 claims which was a jump of 14,000 claims. This is continuing the trend of higher jobless claims and does not bode well for the economy because in a recovery which should see the weekly initial jobless claims going down not up. The claims were higher than expected and was a jump up from last month’s reading of 330,000 claims.
The Next Free Maryland First Time Home Buyer Seminar is Saturday May 24, 2014 in Towson, Maryland. Register by calling 410-412-3319 or Register online at http://www.MarylandHomeBuyerSeminars.com
John R. Thomas
Certified Mortgage Planner – NMLS 38783
Primary Residential Mortgage, Inc. – Baltimore Maryland Mortgage Company
1220A East Joppa Rd Suite 118
Towson, MD 21286
410-412-3319 MD Office