Jack Misraje

This week, mortgage rates rose influenced by higher oil prices and robust labor market data. The May Employment report revealed a surprising 172,000 job gain, well above expectations, signaling economic strength but pressuring mortgage markets. Wage growth remains moderate, and unemployment held steady at 4.3%, impacting the Los Angeles housing market dynamics.

Mortgage rates declined this week amid hopeful reports of progress to end the Middle East conflict, despite rising inflation pressures. The core PCE price index rose to 3.3% annually in April, the highest since November 2023, while the personal savings rate dropped to 2.6%, the lowest since June 2022. Consumer confidence also weakened, reflecting concerns over prices and job availability.

Mortgage rates retreated slightly after reaching July highs, influenced by hopeful news on the Middle East conflict. April saw a slight rise in previously owned home sales, with the median price at $417,700, up 1% year-over-year. Inventory remains tight nationally at a 4.4-month supply, impacting the Los Angeles housing market's dynamics this week.