What's in the Market? Real Estate and Mortgage Edition

Markets in a Minute. Unemployment hit a 35-year low last month, with over 500,000 new jobs created. The labor market remains strong despite the Fed rate hikes. Mortgage rates rose as markets began anticipating 2 additional Fed rate hikes that would raise the policy rate at least 5%. After constricting in December, the ISM Service Sector Index came in higher than expected in January. A hopeful economic sign. Although still lower than a year ago, purchase mortgage applications rose 3% for the week. Refi apps were up 18%. Black Knight reports 57% of recent borrowers accessed lower rates with permanent rate buydowns. Nearly 25% paid 2 or more points. Housing inventory fell by 8,664 units last week. Continuing inventory declines can help mitigate falling home prices. Thanks for watching! The Last Word.