Morning Roundup (9/16/2022) – Rapper Sentenced, Rates At 6%

Good Morning! Today is Friday, September 16. The late Queen Elizabeth II‘s eight grandchildren will stand vigil beside her coffin in Westminster Hall on Saturday evening. The roughly 50 migrants who were sent by plane to Martha’s Vineyard in Massachusetts by Florida’s governor this week will be transported to a military base to receive shelter and humanitarian support. ABC News reports that Donald Trump is increasingly embracing and endorsing the QAnon conspiracy theory.



The Mortgage Note Reports

Rapper Sentenced: Officials at the U.S. Department of Justice say that a Bay area rapper was sentenced to more than seven years in prison for his role in orchestrating a complex loan fraud and identity theft conspiracy. Editor Kimberley Haas has the details.

Rates At 6%: Mortgage interest rates and inflation are both up ahead of the September FOMC meeting, and analysts say another .75 point hike is basically assured.

Inventory Up: Housing inventory is up as mortgage rates are locking some buyers out of the market, but re-balancing comes with sacrifices for both buyers and sellers.

In other mortgage and housing news…

All Cash: The share of homes bought with all cash is down slightly from the peak reached earlier this year as the market cools, but still up from before the pandemic.

Affordability Falls: Affordability is at its worst point in 37 years, costing the average family 35.51% of its income to make payments on the median home with 20% down.

Rent Bumping Inflation: Rising rent prices are keeping inflation high, with shelter prices up 0.7% in August, the biggest monthly jump since 1991.

FAU Research: Spokane, Washington, and Austin, Texas are the two markets most exposed to price corrections, so FAU suggests residents should rent rather than buy.

“Weakness Ahead”: The housing market slowdown is only just getting started, according to Goldman Sachs Chief Economist Jan Hatzius.

Fannie Appointment: Fannie Mae has appointed Anthony Moon as Executive Vice President and Chief Risk Officer effective fourth quarter 2022.