how do Oil prices affect mortgages rates and the real estate market?

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Raoul Loustaunau, urhomefinder.com myvaluetoday.com (EXP REALTY)

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Chris Webb

Nova Home Loans - Tucson, AZ

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That is a great question!!! Here is an article on it.

Feb 06, 2015 12:44 AM

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Raoul Loustaunau

Phoenix, AZ
Mike Tizzano

Mesa, AZ

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Marla Yost

The Yost Team- Keller Williams Realty - Arlington, TX

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Great question !!!! Great answer Mike Tizzano .

Thanks for the article Chris Webb

Feb 06, 2015 02:48 AM

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Raoul Loustaunau

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Mike Tizzano

Amerifirst Financial, Inc Equal Housing Oppurtinity Lender AZ BK0013635 NMLS 145368 LO:1015837 - Mesa, AZ

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Oil price is one of many factors in the pricing of mortgages. Mortgage prices are largely driven by the price of Mortgage Backed Securities (MBS) which are traded on the market. Bad economic news usually means good things for MBS prices. When other areas of the economy are lagging investors tend to buy more MBS. The higher the MBS prices the better the mortgage pricing. Last week MBS hit all time highs but quickly came down. It's vital for loan officers to keep an eye on the MBS market so they can lock loans at the optimal time.

Feb 06, 2015 02:04 AM

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Raoul Loustaunau

Phoenix, AZ

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Bob Crane

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A couple of good answers here, thanks.

Oct 07, 2019 09:03 PM

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Praful Thakkar

LAER Realty Partners - Burlington, MA

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No idea for sure.

Jun 17, 2018 08:14 PM

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Dipti Thakkar

LAER Realty Partners - Andover, MA

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No idea.

Jun 16, 2018 10:29 PM

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Ajay Pandya

e-Merge Real Estate Unlimited - Columbus, OH

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No idea.

Feb 03, 2018 09:32 PM

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Gabe Sanders

Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL

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As oil prices rise, the buyer pool looks to minimize their commuting distance.

Dec 11, 2017 05:38 AM

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Raoul Loustaunau

EXP REALTY - Phoenix, AZ

urhomefinder.com myvaluetoday.com

thanks John for you comment , have a great weekend

Feb 06, 2015 06:35 AM

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John Meussner

Mortgages in AZ, CA, CO, DE, FL, GA, IN, MD, MN, MT, NC, NJ, NV, OK, OR, PA, SC, SD, TN, TX, UT, VA, WI - Fair Oaks, CA

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Directly? Not at all re: interest rates. Oil prices definitely affect the real estate market though, because agents want to drive people around less when prices are high ; )

Kidding - but oil price is just one facet of things that go into interest rates - in today's global economy everything from oil prices, currency valuations, political issues, and speculation drive the markets. There are SOME correlations, but they are never full proof - usually, if the DOW is going down, so are interest rates, and vice versa, but this doesn't always hold true.

Feb 06, 2015 06:28 AM

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Raoul Loustaunau

EXP REALTY - Phoenix, AZ

urhomefinder.com myvaluetoday.com

thank Mike for you comment ,have a great evening

Feb 06, 2015 06:14 AM

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Raoul Loustaunau

EXP REALTY - Phoenix, AZ

urhomefinder.com myvaluetoday.com

thanks Maria Yost for your input , have a great weekend

Feb 06, 2015 06:14 AM

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Raoul Loustaunau

EXP REALTY - Phoenix, AZ

urhomefinder.com myvaluetoday.com

thanks Chris for you comment ,hope you have a great day

Feb 06, 2015 06:13 AM

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Great question !!!! Great answer Mike Tizzano .

Thanks for the article Chris Webb
Oil price is one of many factors in the pricing of mortgages. Mortgage prices are largely driven by the price of Mortgage Backed Securities (MBS) which are traded on the market. Bad economic news usually means good things for MBS prices. When other areas of the economy are lagging investors tend to buy more MBS. The higher the MBS prices the better the mortgage pricing. Last week MBS hit all time highs but quickly came down. It's vital for loan officers to keep an eye on the MBS market so they can lock loans at the optimal time.
As oil prices rise, the buyer pool looks to minimize their commuting distance.
Directly? Not at all re: interest rates. Oil prices definitely affect the real estate market though, because agents want to drive people around less when prices are high ; )

Kidding - but oil price is just one facet of things that go into interest rates - in today's global economy everything from oil prices, currency valuations, political issues, and speculation drive the markets. There are SOME correlations, but they are never full proof - usually, if the DOW is going down, so are interest rates, and vice versa, but this doesn't always hold true.