Nashville Real Estate Forum

Weekend Market Update

June 5-6, 2010

Mortgage interest rate pricing improved by 63 basis points on Friday as a tepid job creation report was a downer for the economy and for stocks.

The DJIA closed under 10,000 for the first time since Feb. 8. Stocks slumped after a government report showed employers added fewer jobs than expected last month, and the euro plunged to a new four-year low, reviving worries about the health of the European economy.

The Dow Jones industrial Average lost 324 points, or 3.2%, closing at 9,931.97.

Bad news elsewhere is often good news for Treasuries, mortgage-backed securities and mortgage interest rates. The 10-year Treasury closed at a yield of 3.2%. While the short-term outlook for rates is to remain low, it is notable as a technical indicator that the yield has touched this range three times but has not been able to crack below 3.1% over the past year.

Translation: We are at extreme lows, and it is time to pull the trigger on a contemplated refinance. Call me to structure your unique loan scenario, be it refinance or purchase.

30-Year Conventional Fixed

4.5% $100,000-$417,000


FHA-100% VA

4.75% $100,000-$393,300


30-Year Jumbo Fixed

5.5% $417,001-$900,000

(Interest-only available-Call me)

THDA Great Start

5.35% $100,000-$393,300

4% of sales price Gift

Call for free pre-approval and to discover

the best financing for you!

...by Gary Moore

Mortgage Planner, First Community Mortgage

...a subsidiary of First Community Bank

Cell: 615-579-8658 Toll-free fax: 866-321-6513

"The surest way for an executive to kill himself is to refuse to learn how, and when, and to whom to delegate work." - James Cash Penney

Visit my real estate website:

http://www.RealCarte.com

Visit my mortgage website:

http://www.BrentwoodHomeLoan.com

(0% points, 1% origination. Market Update informs consumers and Realtors on market trends, offers subjective opinions and is not a quote for a unique borrower.)