Consumer spending debunks new recession theories

http://bit.ly/ugEpIM

Commentary: European debt deal is another 'can-kick'

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Happy Monday and Happy Halloween!

Happy Monday and Happy Halloween!

Stock market's message: Maybe things aren't so bad after all?

http://bit.ly/sPyEhH

Stock market powered forward Thursday with the Dow rising nearly 340 points. By one measure, October could be the Dow

Sellers: Letting Go

http://bit.ly/tVbPL9

The decision to sell your home can come with a mixed bag of emotions. There is uncertainty and fear about how quickly your home will sell and for what dollar amount. There may be guilt about leaving behind family, friends, or neighbors. You may also feel anxiety about what is to come.

Should be an interesting day... Happy Tuesday all!

Should be an interesting day... Happy Tuesday all!

Gavilan attracts $6M federal grant

http://bit.ly/pbkmmK

Gavilan College in Gilroy has been awarded $6 million from the U.S. Department of Education for a program to aid Hispanic and low-income students generally in science and technology instructional areas, among other topics. The campus will receive $1.2 million annually over the next five years for a program titled ?STEM Magnet: Improving Pathways for Hispanic/Low-Income Students.? STEM is an acronym for the Science, Technology, Engineering and Mathematics Education Coalition, an organization that seeks to strengthen academic programs in those subject areas to upgrade workforce development in higher education...

New Bank Short Sale Pilot Program in Florida

http://bit.ly/phCOjl

It can certainly be overwhelming to keep up with every  bit of news affecting the real estate  industry.  When it comes to distressed properties I try very hard to push out the information as soon as news breaks!  Today I am  … Continue reading →

Keeping It REAL Estate market stats

Here are the latest market statistics, let me know if you want to know the value of your home.  No obligation, knowledge is a powerful tool!

Happy Monday!

Happy Monday!

Halloween Cupcakes

http://bit.ly/oBsKoD

Make creepy (and tasty) cupcakes for Halloween.

Are You Already Thinking About Christmas Decorations? I am...I already enlisted my daughters boyfriend to help with the lights!

http://bit.ly/qH4b4B

Be honest. You have pumpkins on your porch and candy corn in your hand right this very minute, but you’re already secretly thinking about your Christmas decorations. It’s okay. You’re not alone. For those who enjoy holiday cheer a little early, here are some simple handmade Christmas ornaments and decor to keep you satisfied until [...] Related posts:

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   Does Your Fireplace Mantel Look Naked?


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   HGTV How-To: Create Your Own Silhouette Pumpkin


3. 
   Musical Decor: Upcycled Vinyls, Cassettes + Victrola Horns

Electric atmosphere as Tesla shows off Model S: Good news for Bay Area industry? Hopefully!

http://bit.ly/qy1Sxj

Tesla Motors Inc. is opening the doors of its huge, gleaming new Fremont factory this weekend to give buyers of the company's Model S Sedan their first good look at the highly-anticipated electric car. At two separate events on Saturday and Sunday evenings, buyers get to take short rides in the Model S, tour the factory to see how it is made and learn some details about the car's features from Tesla CEO Elon Musk. The electric car maker (NASDAQ:TSLA) is headquartered in Palo Alto. The car's buyers have put down $5,000 deposits - or $40,000 for the "signature series," the first 1,000 cars off the line - but won't actually receive their cars until next summer at the earliest...

This week in the Mortgage World!

This week brings us the release of only three monthly economic reports that are likely to influence mortgage rates. However, two of those three releases are extremely important to the financial and mortgage markets and we also have a congressional appearance by Fed Chairman Bernanke. We start the week with one of the highly important reports and end it with the other. In between, we will watch Chairman Bernanke’s testimony and stock movement for mortgage rates direction.



Tomorrow has the Institute for Supply Management (ISM) posting their manufacturing index for September at 10:00 AM ET. This index measures manufacturer sentiment and it can be heavily influential on the markets and mortgage rates. Analysts are expecting to see little change from August’s 50.6 reading, meaning surveyed manufacturers felt business conditions were steady from the previous month. The 50.0 benchmark is extremely important because a reading above that level means more surveyed executives felt business improved than those who said it had worsened. This data is important not only because it measures manufacturer sentiment, but it is also very recent data. Some economic releases track data that are 30-60 days old, but the ISM index is only a few weeks old. If it reveals a reading below 50.5, meaning sentiment fell short of expectations, we should see the bond market move higher and mortgage rates fall tomorrow.



Tuesday’s data will come from the Commerce Department, who will post August's Factory Orders data at 10:00 AM ET. This manufacturing sector report is similar to last week's Durable Goods Orders release, but also includes orders for non-durable goods. It can impact the bond market enough to change mortgage rates if it varies from forecasts by a wide margin. Analysts are forecasting a decline of 0.1% in new orders, meaning manufacturing activity slowed in August. This would be good news for the bond market and mortgage pricing, but I believe we will need to see a much larger decline than 0.1% for this data to create an improvement in rates.



Chairman Bernanke’s testimony will take place late Tuesday morning. He will speak before a joint congressional committee about the economy and monetary policy. As is the case whenever he speaks publicly, all eyes will be on his words. I am sure he will be drilled from members of the committee about the Fed’s intentions on getting the economy moving. It will be interesting to see what type of questions get thrown at him. Market participants will be looking for any indication of what their next move will be. There is a high likelihood of seeing a good deal of volatility during his testimony and the Q&A portion that will follow.



Wednesday and Thursday have nothing of concern scheduled. There are a couple of private sector reports due to be posted, but none of them have the potential to cause significant movement in mortgage rates. We will get last week's unemployment numbers from the Labor Department Thursday morning, but since it tracks only a single week's worth of new claims, its impact on the markets and mortgage rates is usually minimal. Worth noting though is the fact that this Thursday's report will cover the last week of the month that Friday's monthly report will include. Therefore, a significant surprise in Thursday's numbers could cause some analysts to revise their estimates for Friday's report and may influence mortgage rates slightly.



The Labor Department will post September's Employment report early Friday morning. This report will reveal the U.S. unemployment rate, number of new payrolls added or lost during the month and average hourly earnings. These are considered to be very important readings of the employment sector and can have a huge impact on the financial markets. The ideal scenario for the bond market is rising unemployment, falling payrolls and a drop in earnings.



If this report gives us weaker than expected readings, bond prices should move higher and we should see lower mortgage rates Friday. However, stronger than forecasted readings could cause a sizable spike in mortgage pricing. Analysts are expecting to see the unemployment rate remain at 9.1%, an increase of 63,000 new jobs from August's level and a 0.2% increase in earnings.



Overall, I suspect we will see a fair amount of volatility in the markets and mortgage rates this week. There isn’t that much data being released, but what is being posted is extremely important to the markets and highly influential on mortgage pricing. Labeling Tuesday and Friday as the most important days is easy due to Mr. Bernanke’s speech and the importance of the Employment report. Tomorrow will also probably be an active day for mortgage rates, so maintain fairly constant contact with your mortgage professional this week if still floating an interest rate.



Thanks Joe Patterson for your wonderful insights.  Joe Patterson is with Princeton Capital and can be reached at (408)674-7438