Mortgage Watch Report

Mortgage Rates this week are pushing higher! In January, it looked like there might be some reprieve for high rates and slumping sales. But then February happened! A series of economic reports caused an immediate renewal of fear over the inflation outlook, and again, inflation is the key input for rates right now.

Today the January PCE inflation numbers came out hotter than expected, rising back to the highest month-over-month levels in decades! This paints a very different picture for Powell and the Fed, and markets are now anticipating they will hike “again” in March some 25 – 50 bps.

This narrative does not bode well for mortgage rates. Just when it seemed that inflation was coming down, the data shows otherwise. Mortgage rates are now marching towards 7% again….uugghh!

Bottom Line: Renters still believe in the home buying process as evidenced by The U.S. Census Bureau and the Department of Housing and Urban Development showing sales of newly constructed single-family homes were at a seasonally adjusted annual level of 670,000. This was up 7.2 percent from December’s rate of 625,000 units and the best performance since last March!

Here are rates for Friday 2-24-2023:


















Keith Murphy Branch Manager – Essex Mortgage NMLS #330827

Direct: 714-309-1140


About the Author

Tim Morissette, also known in the community as Mr. Foothill Ranch, offers over 46 years of real estate experience which has given him an established reputation and unmatched market knowledge. He is joined by his wife, Michele and sons Matt and Jeff, as they continue to offer personal service with an emphasis on achieving his clients’ real estate goals.  This unique combination of traits has led to his proven track record of referral and repeat business. This can be witnessed by the trust of homeowners in Foothill Ranch where he has sold twice as many homes and represented three times more buyers than the next-leading real estate agent for the last 26 years.

As residents of Foothill Ranch since 1994, Tim and Michele are actively involved in the community by fundraising for Foothill Ranch Library, Make-a-Wish Foundation, Cancer Society, Homes for Habitat, Relay for Life, South County Outreach, and the local church and schools. Tim enjoys sponsoring community-wide garage sales, paper shredding and e-waste recycling event, an Easter egg hunt, & a Meet Santa Event.

Tim and Michele are dedicated to their family of four sons, daughter-in-laws, and grandchildren. As a family, they enjoy many outdoor activities which include camping, spearfishing, mountain climbing and exploring the miles of hiking and equestrian trails in Foothill Ranch and the Whiting Ranch Wilderness Park. Tim and his sons are also avid snowboarders and enjoy mountain biking and lobster diving. Family is a top priority in the Morissette household. They look forward to helping more families achieve their dreams of homeownership.