Good morning! Today is Thursday, April 9. The White House coronavirus task force says U.S. mitigation efforts appear to be working, raising hopes of defying projected worst-case scenarios. Vermont Senator Bernie Sanders ends his White House bid.
And in mortgage and housing news …
NON-BANK LENDERS: A bipartisan group of U.S. Senators urged federal regulators to support non-bank mortgage lenders with liquidity as more borrowers are unable to make loan payments due to coronavirus-induced job losses.
FDIC WATCHDOG: The Federal Deposit Insurance Corporate’s watchdog issued a report that found the agency was ill-prepared to function in the midst of a crisis, due in part to lack policies and procedures in place.
MORTGAGE APPLICATIONS: The Mortgage Bankers Association’s weekly survey showed that mortgage applications dropped 17.9 percent from a week earlier. The weekly purchase index dropped 12 percent from a week earlier and was 33 percent lower than a year ago.
REDFIN CUTBACKS: Redfin announced that 41 percent of its agents are leaving the company, with some leaving the company for good and most furloughed through the summer. The company also it is cancelling bonuses and temporarily cutting headquarter salary by 10 to 15 percent.
SQUEEZE: Axios writes that the $2.2 trillion coronavirus stimulus is helping existing homeowners but also causing dislocations in the U.S. mortgage market. This, combined with the pandemic, is weakening access to and demand for mortgages even with rates at record lows.
MORTGAGE DELINQUENCIES: FHFA Director Calabria says he does not expect widespread mortgage delinquencies in the wake of the coronavirus economic meltdown.
ADDITIONAL RELIEF: The U.S. Department of Housing and Urban Development and the Government National Mortgage Association are both exploring additional relief options for the mortgage industry.
COMMERCIAL REAL ESTATE: The commercial real estate market could remain in trouble, even after the coronavirus pandemic is over.
`BE AROUND FOR THE RECOVERY: How the entire real estate industry is responding to the global coronavirus pandemic.