Nashville Real Estate Forum

Weekend Market Update

May 3-4, 2008

The Labor Department brought bad news for bonds with Friday’s April employment report, which stated the unemployment rate fell to 5.0% when it was expected to rise to 5.2%. The payrolls number also hit Treasuries with a 20,000-job decline compared to the forecasted 75,000 drop. Those readings indicate that the employment sector may not be as bad as many had thought. Bond yields rose and mortgage rates were pressured in Friday’s trading. The 10-year Treasury closed at a yield of 3.85%. Earlier in the week the Federal Open Market Committee dropped its short-term Fed funds rate by .25%, which puts the prime rate charged by most banks at 5%. The prime rate one year ago was 8.25%.

30-Year Conventional Fixed

6% $200,000-$432,500

FHA-VA

6% $100,000-$432,500

Guaranteed Rural Housing w/no MI

6.25% $100,000-$432,500

Call for free pre-approval and to discover

the best financing for you!

...by Gary Moore

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

"To keep a lamp burning we have to keep putting oil in it." - Mother Teresa

Visit my mortgage web site:

http://BrentwoodHomeLoan.com

(0% points, 1% origination, 30-day lock. Market Update informs on market trends and is not a quote for a unique borrower.)