The Economy added 223,000 jobs in May, but......
Wage growth remains an issue in the positive jobs report. JOB GROWTH IS HAPPENING. HOWEVER, the income on the jobs is not growing as quickly. Hourly pay is up 2.7% which is barely above inflation. The current wage growth is about half of what is typically expected in a relatively tight labor market with an unemployment rate of 3.8%.
The Federal Reserve meets next on June 12-13 which will be weighing on increasing the Fed Fund rate which effects all consumer debts rapidly including Home Equity lines of credit. It eventually rolls into the Mortgage Rates often. The Fed noted last week that "wage increases remained modest in most Districts," but it is still likely to approve an increase in its benchmark interest rate in the up coming meeting.
MARKET RECAP: Housing prices are going up, Interest rates are going up, and Rental rates are going up.
TAKE ACTION: Lock in on a fixed payment today before the next rate hike. If you are a tenant, and want to buy, there are many DOWN PAYMENT ASSISTANCE loan programs available. EQUITY IS UP in your home, refinance your home equity loan to a fixed rate. Most HOME EQUITY LINES OF CREDIT is no longer a tax write off starting January 1, 2018.
CONTACT: Rodney Rose, 916-223-2775, GetMoneyForYou.com , for more information or a quick review of your options.