Your Mortgage Blog

Posted on
January 15, 2025
by
Barry Schwartz

Corners! Rising Rates! Guitars!

Corner Quote of the Day: “I’ve got at least one tiny corner of the universe I can make just the way I want it.” – Kurt Vonnegut

Today in History: It was on this date in 2001 when Wikipedia went live, two days after the domain was registered. I know what most of you are thinking, “Hey Barry, when are you going to have your own Wikipedia page?!” I don’t know, Mortgage Fans, but what I do know is that I use Wikipedia religiously to help me write the weekly trivia questions at the bottom of every blog. When you see any errors it’s due to Wikipedia – not me! Also, anyone who is volunteering to write my own page please be sure to include these dates: May ’80 – I break up with my 8thgrade girlfriend. (*for those of you keeping score at home that makes it 8 women that have dumped me versus one who I dumped in my lifetime. Also, the one I dumped has an asterisk by it because I had learned earlier in the day she was going to break up with me after school). February ’82 – I beat my brother Billy in a physical game of Nerf Hoops in our bedroom but suffer a fracture of my left humerus (*it was worth it, I didn’t win too many games against my older brother). December ’96 – My barber said to me, “You’ve got some hair thinning going on.” This was the start of a 30-year depression that continues to this day.

Possible Game Show Answer: You can hear a blue whale’s heartbeat from more than 2 miles away.The world’s largest animal’s heart weighs about 400 pounds – that’s the size of a small piano!

Wuss’up This Week: Here we go with the inflation reports, Mortgage Fans – today we’ve got PPI, Core PPI, PPI year over year, and Core PPI year over year as well as three Fed Presidents speaking. Tomorrow the Retail Sales Report (*this will come in higher than expected as I just bought a blender and a 64-ounce jug of Heinz ketchup from Target) and Jobless Claims, and then on Friday we’ve got Housing Starts, Building Permits, and Capacity Utilization. If these reports come in good for the economy, we’ll see rates tick up, and vice versa if the numbers disappoint.

Interest Rate Update: Today we find conforming 30yr fixed loans at around 6.875% for loans at $250k or less, and for loans at $251k-$806k they can be found in the high-6s/low-7s. For Jumbo loans (*over $806k) they can be found in the high-6s for a 30yr fixed and about a quarter lower for ARMs. Amazing to me that the Fed has lowered rates .75% in 2024 and yet the mortgage rates are up about a point during that stretch. What do today’s interest rates have in common with my waistline? They have both been artificially inflated by junk food. Wait, scratch that last part about the food, but I do believe there is a TON of room for them to come down even with the Fed saying only two rate cuts this year. As usual rates will vary based on if you’re a first time homebuyer, type of home, equity in the home, your credit score, and if you like memorizing images

Don’t Forget to Remember: Any purchase or refinance that closes with me I will waive $450 in lender fees! Grab yourself a cup of instant karma and pass my info along to any friends, family, coworkers, or guitar fans that can use this gift.

Corner Quote of the Day 2: “Here’s a picture of me with REM. That’s me in the corner.” – Milton Jones

Timeout for Trivia: Congrats to those who guessed Sophia Bush last week! Want to be entered into a drawing to win a Learn About Subtraction T-shirt? Simply email me the answer to this week’s Who Am I? question. Good luck: “Today is the day, I was born this way, It’s my birthday, hey hey hey hey! (*My apologies, Mortgage Fans – I’m not a rapper.) If you say to me, “What’s up, dawg?” does that have a double meaning? Haha! Yeah, I might be a rapper but that doesn’t mean I don’t have causes that I believe in – mainly global warming in 2012. Yeah man, I care about this planet and other planets, but you’ll get sense of my favorite planet from my 2011 album. I like to collaborate with other stars – I’ve performed with Christina Aguilera, Jennifer Lopez, Enrique Iglesias, Ne-Yo, etc., and in 2013 my single with Kesha topped the charts – it’s one-word title might be something you’d hear shouted in the woods. So anyway, getting back to my birthday – I don’t need gifts. Just kidding, give me everything!”

The Adieu Mortgage Haiku:

I married my bride

On this day in ‘94

Rates were around six!

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