Mortgage Rates Plunge To New Record

Another week, another new record. The 30-year fixed-rate mortgage dropped to 2.86 percent this week, the lowest rate in history, according to Freddie Mac’s weekly Primary Mortgage Market Survey released Thursday. Freddie Mac has been tracking mortgage rates since 1971. The survey found: The 30-year rate dropped from 2.93 percent last week to 2.86 percent with an average 0.8 point. A year ago at this time, the average was 3.56 percent.The 15-year fixed-rate mortgage averaged 2.37 percent with an average 0.7 point, down from last week’s 2.42 percent and last year’s 3.09 percent.  The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.11 percent with an average 0.2 point, up from last week’s 2.93 percent and last year’s 3.36 percent. “Mortgage rates have…

3.6 Million US Mortgages Remain In Forbearance

The share of mortgages in forbearance in the United States dipped slightly last week, though 3.6 million homeowners continue to have their payments paused, according to the latest survey released by the Mortgage Bankers Association. MBA reports that 7.16 percent of mortgages were in forbearance as of August 30, down from 7.20 percent the week before. The survey also found: The share of Ginnie Mae loans in forbearance increased from 9.58 percent to 9.62 percent.The share of Fannie Mae and Freddie Mac loans in forbearance decreased from 4.88 percent to 4.80 percent.The share of independent mortgage bank loans in forbearance held steady at 7.41 percent.Bank loans in forbearance dropped from 7.49 percent to 7.40 percent. “The labor market continued to…

Mortgage Applications Edge Upward For Week

Mortgage applications increased slightly for the week while remaining significantly higher than last year’s levels, according to the weekly Mortgage Applications Survey released Wednesday by the Mortgage Bankers Association. Overall, mortgage applications were up 2.9 percent for the week ending September 4. Refinances were up 3 percent from the previous week and were 60 percent higher than last year at this time. Purchase applications were up 0.2 percent for the week and 40 percent for the year.  “There continues to be resiliency in the purchase market,” said Joel Kan, MBA’s Associate Vice President of Economic and Industry Forecasting. “Applications were up almost 3 percent on a weekly basis and the average loan size continued to increase, hitting a survey high…

Redfin: More Than Half Of Offers Face Bidding Wars

Buying a house? More often than not, you may face some competition. Redfin reports that 54.5 percent of offers on its homes faced bidding wars last month – down slightly from 57.3 percent in July. It is the fourth straight month with more than half of offers facing competition. “The market is on fire. There just isn’t enough on the market to supply the huge demand for homes,” San Diego Redfin agent Lisa Padilla said. “A lot of military buyers are trying to take advantage of the low interest rates for VA loans. Anything on sale for less than $600,000 has multiple offers, and sometimes they’re getting more than 20 offers. Only condos are a little slow, as most buyers…

Six Weeks And Counting: Mortgage Rates Under 3%

Mortgage rates increased slightly this week but remained under 3 percent for the sixth straight week, Freddie Mac announced Thursday in its Primary Mortgage Market Survey. The survey found: The 30-year fixed-rate mortgage averaged 2.93 percent with an average 0.8 point for the week ending September 3, up from last week’s 2.91 percent and down from 3.49 percent at this time last year. The 15-year fixed-rate mortgage averaged 2.42 percent with an average 0.8 point, down from last week’s 2.46 percent and last year’s 3.00 percent.   The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.93 percent with an average 0.2 point, up from last week’s 2.91 percent and last year’s 3.30 percent. “Mortgage rates have remained effectively flat or at near…

Mortgage Applications End August Down Slightly

Mortgage applications dipped ever so slightly in the last week of August but remained significantly higher than a year ago, according to the weekly survey released Wednesday by the Mortgage Bankers Association. Overall, applications were down 2 percent for the week ending August 28. Refinance applications were down 3 percent for the week but were still 40 percent higher than the same week a year ago, while purchase applications were down 0.2 percent for the week but 28 percent higher than 2019 levels. The refinance share of mortgage activity decreased to 62.5 percent of total applications from 62.6 percent the previous week. The adjustable-rate mortgage (ARM) share of activity remained unchanged at 2.6 percent of total applications.  “Both conventional and…

Home Prices Boom In July

Home price growth accelerated considerably in July, as the housing market proved strong and resilient even as the coronavirus pandemic continued to impact other parts of the economy, according to a report released Tuesday by CoreLogic. Home prices nationwide increased 5.5 percent from July 2019 to July 2020 – and increased 1.2 percent from June to July, according to the CoreLogic study, which also predicts that prices will increase by just 0.1 percent in August and 0.6 percent by July 2021. “On an aggregated level, the housing economy remains rock solid despite the shock and awe of the pandemic,” CoreLogic President and CEO Frank Martell said. “A long period of record-low mortgage rates has opened the flood gates for a…

Free Rent! Landlords Offering More Concessions

Landlords across the country are offering more perks to attract would-be renters as the rental market has softened considerably in the last few months, according to an analysis released Tuesday by Zillow. In July, 30.4 percent of rental listings on Zillow offered some sort of concession – up from 16.2 percent in February and just 12.5 percent in July 2019. At the same time, growth in rent costs has slowed from 3.9 percent to 1.2 percent over the same period. “Before the pandemic, rent growth was accelerating and the nation was seeing concessions dwindle. That trend reversed sharply after the pandemic hit in February,” Zillow economist Joshua Clark said. “In a softer rental market, landlords are trying to push the right…

Forbearance Levels In US Remain Unchanged

The share of mortgages in forbearance hasn’t budged in recent weeks, with 3.6 million homeowners in the United States still having their loan payments paused during the coronavirus pandemic, the Mortgage Bankers Association announced Monday. MBA’s weekly report found that 7.20 percent of loans were in forbearance as of August 23 – the exact same percentage as the week before and just 0.01 percent lower than two weeks before. The survey also found: The share of Fannie Mae and Freddie Mac loans in forbearance dropped for the 12th week in a row to 4.88 percent – down from 4.93 percent the week before.Ginnie Mae loans in forbearance increased to 9.58 percent from 9.54 percent.7.41 percent of independent mortgage bank loans were…

Pending Home Sales Strong In July

Pending home sales increased for the third consecutive month in the United States in July, with each of the four regions of the nation seeing monthly and yearly gains, according to a National Association of Realtors report released Thursday. The Pending Home Sales Index increased by 5.9 percent in July – and were 15.5 percent over last July. “We are witnessing a true V-shaped sales recovery as homebuyers continue their strong return to the housing market,” said Lawrence Yun, NAR’s chief economist. “Home sellers are seeing their homes go under contract in record time, with nine new contracts for every 10 new listings.” Pending home sales increased by 25.2 percent in July and were 20.6 percent higher than last year.…