Has The Predicted Surge In Mortgage Rates Begun?

By Elise Daniel Interest rates jumped to 2.97 percent last week, the highest they’ve been in six months. On its own, the increase is not significant—but it may actually be monumental if it is the beginning of a rate surge that has been long predicted. If the historic decline in rates that we have been experiencing has finally reached its bottom, then today’s rates may be the lowest available for months, and maybe years, to come. But if the surge doesn’t arrive and this week’s minor increase is just a predictable blip, then the frenzy will have been overblown. One market watcher has said that a “perfect storm is brewing,” but as any meteorologist knows, prediction is always a hard game. Market prediction…

What Joe Biden Means For The Mortgage Industry

By Elise Daniel When Vice President Joe Biden entered the White House in 2008, he inherited an economic recession and subprime mortgage crisis in which millions of people lost their homes due to foreclosure. Bank bailouts, stimulus packages, and financial regulation followed. The burning question for lenders in 2021 is: How will President Biden, who’s been around this block before, respond to today’s complex housing market that has been propped up by forbearance and historically low interest rates?  Just hours after swearing in, Biden signed an executive order that pushed back the federal eviction moratorium to the end of March. He’s asked Congress to extend the grace period until the end of September and plans to call on the Federal Housing Finance Agency to extend the foreclosure…

It’s Good To Be Mat Ishbia

By Elise Daniel United Wholesale Mortgage is slated to go public Friday. The Wall Street debut will turn Mat Ishbia into a billionaire overnight.  Ishbia is the 40-year-old President and CEO of UWM, the second-largest mortgage lender in the country. After playing college basketball at Michigan State University, Ishbia joined his dad’s mortgage company, United Shore, in 2003 and worked his way up. Ten years later, his father, Jeff Ishbia, made him president of United Shore’s primary business unit, UWM.   Ishbia is considered the biggest player in the wholesale sector. He was named one of the “Most Influential Mortgage Professionals Under 40” by National Mortgage Professional magazine in 2019. Merging with special purpose acquisition company (SPAC) Gores Holdings IV and going public will likely make him even…

There’s A Mortgage Industry IPO Boom. Why?

By Elise Daniel Even in the middle of an economic recession, IPOs are booming and mortgage companies don’t want to miss out. The mortgage industry at large is at a peculiar crossroads and companies and investors are jumping to cash in on a unique set of circumstances, at least in the short term.  Though some public debuts went on hold in the fall, likely due to market uncertainty surrounding COVID stimulus negotiations and the election, IPOs are back in 2021. Several lenders either went public or announced their plans to go public last year and many are expected to go public in the first quarter.  Between jaw-droppingly low interest rates and a booming stock market, many experts aren’t surprised so…