Mortgage Roundup (12/28/20) – Prices, Rates & Land

Good morning! Today is Monday, December 28. President Trump signed the Covid economic stimulus and relief bill into law. Law enforcement confirmed that the suspect in the Nashville Christmas Day bombing died in the explosion. Oxford University scientists successfully turned CO2 into jet fuel, raising the possibility of conventionally-powered aircraft with net zero emissions.

And in mortgage and housing news …

HOME PRICES: Home prices increased 1.5 percent in October – and were 10.2 percent higher than October 2019 levels, according to a report released Wednesday by the Federal Housing Finance Agency.

MORTGAGE APPS: Mortgage applications inch higher.

MORTGAGE RATES: Mortgage rates slip to a 16th record low. Freddie Mac sees COVID-19 numbers and vaccinations as the key drivers near-term.

MULTIFAMILY FORBEARANCE: The Federal Housing Finance Agency announced that Fannie Mae and Freddie Mac are extending forbearance opportunities to qualifying multifamily property owners through the end of March.

LAND SHORTAGE: Builders are looking to expand to meet surging housing demand, but are constrained by the number of lots ready for construction.

MORE RECORDS: More home loans are being issued this year, the level of which is on pace to top that of the housing boom in the 2000s.

MORTGAGE POINTS: Here’s how to decide whether paying points on your mortgage is a good idea.

CUSTOMER SATISFACTION: About 87 percent of borrowers wanted some form of human interaction with their home purchase closing while just 13 percent supported an all-digital process, a recent study found.

TRUE LENDER: The OCC has faced legal challenges to its “true lender” rule finalized in October, which aims to clarify legal issues in partnerships between banks and nonbanks.

TOP PREDICTIONS: The 15-year rate will drop below 1 percent and jumbos will fall below 2 percent, according to Lazerson’s annual prognostications.

PACE LENDERS: Green home improvement lender Renovate America files for bankruptcy.