Fresh Market Every Saturday in Downtown Smyrna

Starting Saturdays in May through September a new local farmer's market for Smyrna residents will be open. The market will be open from 8am to 1pm. Be sure to get there early for the best selection.

See www.SmyrnaCity.com for information on how to be a vendor.

State of GA offering $1,800 Tax Credit for Home Buyers

Governor Purdue signed into law House Bill 261 that authorizes a one time tax credit of 1.2% of a homes purchase price up to $1,800.




First time buyers in Georgia can combine this with the $8,000 credit from the Federal Government as long as the purchase is closed by November 30, 2009. If you are not already shopping for a place in Smyrna then you should start.

Housing Starts Are No Longer Falling, Another Positive Signal In Housing

A "housing start" is a new home on which construction has started and, for the fourth straight month, single-family home construction remained flat in April.

For the battered housing market, this is the latest in a series of signals that a long-awaited turnaround is coming.

* The number of homes under contract to sell are rising
* The national housing inventory is down by nearly 1 million from March 2009
* Home values are rising, according to a government report

The current plateau in Housing Starts may indicate that builders are more confident in the economy, and that Americans are, too. Especially in light of the free fall over the past few years.

Single-Family Housing Starts have hugged the 360,000 mark since January 2009.

However, there is a footnote to the story.

As noted by the Commerce Department in its official report, the April Housing Starts conclusion is suspect because of the data's large Margin of Error. Had the government's sample set included a different series of data, in other words, it may have concluded that housing starts had fallen instead of staying flat. Or risen.

We won't know the final results of the report until 3 months from now but if the initial figures hold, it will fortify the argument that the housing market has, indeed, found its bottom.

How Credit Cards May Be Replacing Home Equity

How Credit Cards May Be Replacing Home Equity As A Funding Source

Credit card spending is increasing

As mortgage guidelines loosened between 2002 and 2006, homeowners often used their home equity to retire credit card and other consumer debt. They did this by increasing the size of the mortgage and taking "cash out" from their home.

As you'd expect, this type of mortgage transaction is called a "cash out" refinance.

Well, now that mortgage guidelines are tightening, it's growing more difficult for a homeowner to engage in this type of home loan.

Mortgage lenders are restricting the total amount of equity that can be withdrawn from a home, usually as a percentage of the home's value.

This may be one reason why the amount of credit card debt is rapidly increasing among Americans.

Throughout May and June, for example, credit card balances increased 12% and 8% respectively even as consumer spending remained relatively flat.

Therefore, we can hypothesize that Americans -- unable to "cash out" from their homes -- are putting more money on their credit cards and slowly reaching their collective credit limits (upon which the borrowing stops).

When the borrowing stops, spending stops, too, and this has the impact of slowing down the economy.

A slower economy, of course, reduces inflationary pressures and that makes the U.S. dollar stronger to international investors. That strength, in turn, creates buying pressure on mortgage bonds which pushes mortgage rates down for everyone. Naturally, lower rates encourage more borrowing.

Yes, it's a cycle. And it's one worth watchin

Angels and Demons in Mortgage rates

Angels and Demons and Mortgage rates



Retail Sales are down worse-than-expected for April 2009. After a dreadful start to the month of May, mortgage markets improved last week, pushing mortgage rates lower overall. The ANGELs.

It was the first week since late-April in which mortgage rates fell.

The biggest reason rates improved last week was because the economic optimism that was responsible for the stock market's 30% gain since March faded somewhat.

Retail Sales came in weaker-than-expected as did Initial Jobless claims. Both of these data points show that the economy may not be recovering as quickly as investors had wanted to believe.

Combined with gas prices ballooning more than 10 percent over the last 3 weeks, it's clear that consumer spending will be muted this summer and into fall. THE DEMONS

Consumer spending is important because it accounts for two-third of the economy. If it's slowed for any reason, the economy is less likely to emerge from the current recession as quickly as had been anticipated. THE DEMONS

This is good news for mortgage rates because a slow economy tends to draw investors out of stocks and into bonds, including the mortgage-backed kind. More mortgage bond demand leads to higher bond prices and, therefore, lower bond yields and mortgage rates. THE ANGELS

This week, there isn't much data to watch and, because of Memorial Day, trading will be very light towards Thursday and Friday. THE ANGELS

It's during "calm" weeks like this that mortgage rates can make huge movements up or down. With no official announcements against which traders can make bets, every piece of news is a surprise. THE DEMONS

If you're still floating a mortgage rate, take some risk off the table by locking in this week. Call 404.643.4793 or see http://www.atlloans.com/

Mortgage Rates Higher in Smyrna On April's 539,000 Jobs Lost

Non-Farm Payrolls for May 2007 to April 2009The economy shed 539,000 jobs in April, raising the 6-month total to nearly 4 million jobs lost.

And while the April data may look bad, it's actually 10% better than what was expected.

As a result, it's turning into a bad day to be shopping for mortgage rates.

After bottoming out early last week, conforming, 30-year fixed rate mortgages have risen in cost by as much as three-quarters of a percent. Today's good-for-the-economy report may push costs higher still.

Now, it may seem odd to categorize 539-thousand lost jobs as "good-for-the-economy", but it's important to remember that on Wall Street, expectations are everything.

Investors are constantly buying and selling securities based on what they think will happen in the future. And, up until this morning, there was an expectation that 600-thousand jobs had been lost in April.

As it turns out -- relative -- the actual job loss data wasn't so bad.

Now, markets are making adjustments and re-forming expectations of what's ahead for the economy. They're preparing for things like higher levels of consumer spending in the months ahead, and fewer home foreclosures nationwide. Both outcomes would help to spur the economy from recession.

This helps explain the stock market's early rally, too.

For now, mortgage markets remain sensitive to whiffs of an economic recovery. In general, if there's good news for the country, it going to be bad news for mortgage rates.

Mortgage rates are off slightly in advance of the weekend.