Morning Roundup (12/01/2021)– A New Gold Rush For Lenders, Mortgage Apps Drop

Good Morning! Today is Wednesday, December 1. At least three students were killed in a high school shooting in Oxford, Michigan. The CDC is planning to require international travelers to show a negative test that is less than 24 hours old. The TV host Dr. Oz will run for Senate in Pennsylvania as a Republican.

And in mortgage and housing news…

A New Gold Rush For Lenders?: As the pandemic continues and workers reevaluate their commitment to metropolitan life, lenders in smaller cities stand to benefit from what is being termed the “Great Resignation.”

Mortgage Applications Drop: Mortgage loan application volume fell 7.2% last week, with refis down 15% due to rising interest rates, according to the MBA.

Insurance Hikes Incoming: As the number of natural disasters rises, insurance companies will face more risk, leading to higher insurance premiums and reductions in coverage for property owners, according to a new white paper from SitusAMC.

Making Money Moves: Fed Chairman Jerome Powell signaled the Fed might speed up its plan to provide economic support to the economy in light of persistent inflation.

Housing Undervalued: Despite low affordability, housing is undervalued in most markets compared to consumer buying power, according to American Financial Corp’s Real Home Price Index.

IMB Profits Up: IMBs and mortgage subsidiaries of chartered banks reported a net profit of $2,594 per loan Q3, up from $2,023 in Q2, according to the MBA.

NAR Member Accused Of Hate Speech: The LGBTQ+ Real Estate Alliance is asking NAR to remove a Missoula, MT member for alleged hate speech.

MISMO Seeking Participants: Single-family home prices increased 19.5% YOY in September, with the largest gains seen in Phoenix, Tampa, and Miami, according to the S&P CoreLogic/Case-Shiller Indices.

FHFA HPI Increases: Home prices rose 18.5% YOY in Q3 2021 and 4.2% from Q2, according to FHFA’s Home Price Index.

Deephaven Hires VP, BD: Non-QM lender Deephaven Mortgage has hired Dallas-based Tim Fisher as its vice president, business development.

AmeriSave CPO: Mortgage pro Leif Boyd has joined AmeriSave as its chief production officer, retail sales.

FHFA $1 Million Limits: FHFA announced 2022’s conforming loan limits for mortgages to be acquired by Fannie Mae and Freddie Mac, along with this statement from acting director Sandra L. Thompson:

“​Earlier today, FHFA announced the Conforming Loan Limits for 2022. Compared to previous years, the 2022 Conforming Loan Limits represent a significant increase due to the historic house price appreciation over the last year. While 95 percent of U.S. counties will be subject to the new baseline limit of $647,200, approximately 100 counties will have conforming loan limits approaching $1 million. FHFA is actively evaluating the relationship between house price growth and conforming loan limits, particularly as they relate to creating affordable and sustainable homeownership opportunities across all communities.”