George Duarte, Author at George L. Duarte

What's Ahead For Mortgage Rates This Week - November 28, 2022

Last week’s economic reporting included readings on new home sales and consumer sentiment. Weekly readings on mortgage rates and jobless claims were also published. No economic data was published Thursday or Friday due to the Thanksgiving holiday.

New Home Sales Surpass Expectations in October

The Commerce Department reported higher-than-expected sales of new homes during October. New homes sold at a seasonally-adjusted annual pace of 632,000 homes sold. Analysts expected new homes to sell at an annual pace of 570,000 sales as compared to the revised annual pace of 588,000 new home sales in September. The supply of available new homes rose by 1.50 percent between September and October and approached a nine-month supply of new homes for sale. Rising mortgage rates affected affordability for first-time and moderate-income home buyers, but average mortgage rates fell last week.

Mortgage Rates Fall, Jobless Claims Rise

Freddie Mac reported lower average mortgage rates last week as the average rate for 30-year fixed-rate mortgages fell by three basis points to 6.58 percent and the average rate for 15-year fixed-rate mortgages fell by eight basis points to 5.90 percent. Homebuilders reported rising costs and slowing home sales; some builders added or increased buyer incentives including mortgage rate buydowns and paying buyers’ closing costs.

Last week’s first-time jobless claims were higher than expected with 240,000 new claims filed as compared to the expected reading of 225,000 initial claims filed and the previous week’s reading of 223,000 new jobless claims filed.

Consumer sentiment fell to an index reading of 56.8 in November according to the University of Michigan’s consumer sentiment survey. November’s reading reflected consumer concerns about inflation and a potential recession and was markedly lower than October’s index reading of 59.9 and the October 2021 reading of 73.6. Consumer sentiment about economic conditions in the next six months was also lower at an index reading of 55.6. Readings over 50 indicate that most consumers have a positive view of economic conditions.

What’s Ahead

This week’s scheduled economic news includes readings on home prices, pending home sales, and inflation. Weekly readings on mortgage rates and jobless claims will also be released.

Five Unique Renovations That Can Make Small Living Spaces Feel Bigger Just because you live in a small space doesn’t mean your home needs to feel cramped. There are several renovations that are popular among interior designers to make a space feel larger. Incorporate them into your own home to give it a more open, spacious feel.

1. Crystal Clear

Glass is an absolutely phenomenal way to make a small space feel larger as it removes visual barriers to show off additional square footage, making it seem as though it’s part of the room. Whether you choose a glass railing for a staircases or room divider or incorporate a glass shower into a small bathroom, glass can help your home feel more spacious.

2. Make The Most Of Mirrors

Similar to glass, mirrors can make a small space feel big as they add an illusion of depth to a room. Try installing a large mirror on a wall in lieu of paintings or other decor if you’d like to make a room seem larger than it is.

3. Goodbye Island

If it’s your kitchen that’s feeling cramped, consider removing the island. Islands can add value to a home, but if your kitchen is small enough that it shouldn’t have been there in the first place then getting rid of it will create a much more functional space. Consider whether you’d still have ample counter space and storage without your island, and if the answer is yes it may be time to say goodbye to your island.

4. Tear Down The Walls

Creating an open concept floor plan is a fantastic renovation for a small home as it removes barriers between several small spaces to create one larger open space. Do you really need a wall between your kitchen and dining room? How about between your dining room and living room? If there’s a wall that simply isn’t necessary, it may be time to tear it down.

5. Keep It Light

A very quick and easy renovation to help open up a small space is to paint the walls in a light color as it will reflect more light than a darker shade, making the room feel airy rather than cozy. If you’re considering re-doing the floors, choosing a lighter color can further contribute to the feeling of a larger space.

Small spaces don’t have to cramp your style. In fact, they offer unique design opportunities and can make wonderful living spaces.