Morning Roundup (9/10/2021)- Equity Up in Q2, Wells Fargo Fined

Good Morning! Today is Friday, September 10. Tomorrow is the 20th anniversary of the 9/11 terror attacks. US unemployment hit a new pandemic low as it continues to trend down. President Biden announced a new plan to require vaccinations in workplaces of 100 employees or more or face weekly testing. The Taliban allowed 113 Americans and other Western passport holders to leave Kabul.

And in mortgage and housing news…


Tap That: American homeowners gained a record $1 trillion in tappable equity in the second quarter of 2021, a single-quarter record according to Black Knight.


Speeding Like A Bullet: The national median monthly mortgage payment for homebuyers rose 67% faster than rents year-over-year in August, but mortgage hikes are starting to slow while rents are speeding up, a Redfin report found.


Wells Fargo Fined: Wells Fargo was fined $250 million for violating a 2018 COO order and won’t be able to acquire some residential housing servicing rights. “Wells Fargo has not met the requirements of the OCC’s 2018 action against the bank. This is unacceptable,” said Acting Comptroller of the Currency Michael J. Hsu in a statement.


“Normal Levels”: Ginnie Mae mortgage-backed securities issuance fell to nearly $71 billion in August, the lowest since July 2020.


Home Prices Hit High: CoreLogic reported that the U.S. Home Price Annual Index reached an all-time high at 18% year-over-year in July.


Lenders’ Outlook Bright: Fannie Mae’s Mortgage Lenders Sentiment Survey found lenders are slightly more optimistic about the future. Only 46% believe profit margins will fall in the next three months, down from 69% last quarter.


UWM Goes In-House Only: UWM will bypass the middleman and start coordinating appraisals in-house for their brokers starting October 1.

Producer Price Surge: Producer prices for final demand goods and services topped their highest annual rate since at least 2010, the Labor Department reported.

iBuying Boom: The market share for iBuyers reached 1% for the first time ever in Q2, accounting for 15,000 home sales…


Nothing To Fear: …but industry pros argue that iBuyers are the natural evolution of cash buyers, meaning real estate agents won’t be displaced.


New Chair: Lorraine Stewart, BECU Senior Vice President of Mortgage Lending, has been appointed to chair of CU Servnet’s Board of Directors.