Good morning! Today is Thursday, May 14. The Wisconsin Supreme Court struck down the governor’s stay-at-home order. Washington DC’s mayor extends the city’s stay-at-home order until June 8.
And in mortgage and housing news …
GSE DEFERRALS: The Federal Housing Finance Agency announced that homeowners in forbearance can now opt to repay missed payments on Freddie Mac and Fannie Mae loans at the time their home is sold, when it is refinanced or at the end of the mortgage.
MORTGAGE APPS: Mortgage applications for home purchases increased 11 percent last week, the latest sign that the housing market is taking early steps forward during the coronavirus pandemic.
REBOUND FORECAST: As state and communities take early steps to reopen their economies, realtor.com predicted that home sales in the United States will rebound in the late summer and early fall before experiencing a downturn late in the year.
DRASTIC MEASURES: Bankrate.com analysts say negative interest rates may be inevitable in a post-pandemic economy.
LOAN LOSS MODELS: Banks are struggling with how to update the complex projection models at the heart of their business, given widespread economic uncertainty and a dearth of relevant historical data.
RENTAL ECONOMY: Amid the economic turmoil of COVID-19 pandemic, some face rent hikes and apartment hunts.
VACATION REAL ESTATE: Redfin’s CEO is declaring vacation real-estate markets “toast,” because of the pandemic. Airbnb owners are rushing to offload their homes.
BIDEN PROPOSAL: Presumptive Democratic presidential candidate Joe Biden is proposing federal rent and mortgage forgiveness during the pandemic.
SELF-EMPLOYED: Legal experts urge patience and offer reassurance about the availability of federal CARES Act benefits to self-employed individuals, including many realtors.
HOUSE FLIPPING: House flipping can require a substantial amount of capital to get started, and this is the first major snag everyone faces. Here are some ways to navigate that issue.
LENDER CRITERIA: Pandemic-fueled uneasiness has forced lenders to realign underwriting strategies.
DIGITAL TRANSFORMATION: Half of lenders are now focused on improving digital technologies on the front and back end of mortgage transactions.