.Pending Home Sales Show Mixed Results
A Pending Home Sale is a when a contract is in place to sell a home but it has yet to close.  The National Association of Realtors reported that from January 2009 to January 2010 this index increased by 12.3%.  So, the year-over-year numbers show some improvement in the housing market.

However, Pending Home Sales shrank 7.6% in their monthly comparisons between December 2009 and January 2010.  Home Sales traditionally pull back during the colder months.  The warm, Spring air traditionally starts to heat up demand for housing and that is right around the corner.

Unemployment Rate Remains Unchanged
We had two very important measures of Unemployment last week.  On Thursday, the Initial Jobless Claims data was released and showed that new claims for unemployment benefits fell by 29,000 from the previous week to a seasonally adjusted 469,000. 

The Unemployment Rate was released Friday.  It remained unchanged from the prior period at 9.7%.  Most economists and the market expected it to increase.  But two consecutive readings of 9.7% is starting to bolster the consensus view that we may have started to see the beginnings of some gradual healing and that we could be on the brink of showing some actual job creation by the next report.

Main Street Mortgage Company continually monitors trading in the Mortgage Backed Securities (MBS) market in order to advise our clients on both current rates and the trend for rates in the future.