Mortgage Roundup (6/26/20) – Recovery, Rates & Realtors

Good morning! Today is Friday, June 26. Eight states and several cities are now slowing or pausing their re-opening plans after spikes in coronavirus cases. NASA is crowdsourcing the best design ideas for space toilets with a $20,000 prize. The 2020 Kentucky Derby will allow fans. 

And in mortgage and housing news …

TIME ON MARKET DROPS: The housing recovery is continuing, even as the coronavirus pandemic is showing no signs of letting up across the United States.  

NO NEWS IS GOOD NEWS: The 30-year fixed-rate mortgage averaged 3.13 percent for the second week in a row, remaining at a record low, Freddie Mac announced in its Primary Mortgage Market Survey. 

REALTORS NIX NOLA CONFERENCE: The National Association of Realtors announced that its REALTORS Conference & Expo – scheduled for Nov. 13-16 in New Orleans – will be held virtually due to “health and safety concerns stemming from the COVID-19 pandemic.”  

FREDDIE FORECAST: While mortgage rates remain at all-time lows, the housing market outlook will be heavily impacted by the prospects for a COVID-19 vaccine, fiscal policy and the underlying organic recovery of the economy.

NEW FED RESTRICTIONS: The Federal Reserve put new restrictions on the U.S. banking industry after its annual stress test found that several banks could get uncomfortably close to minimum capital levels.

COOLING HOUSING MARKET: The confluence of high unemployment and the end of the forbearance measures means that we’ll get more defaults and ultimately more foreclosures, more foreclosure sales, and that’ll put some weakness into the housing market.

BLACK HOMEOWNERSHIP: To help Black Americans become homeowners, lenders should provide the same price incentives given to wealthy borrowers.

NEW CONSTRUCTION: Not only might the COVID-19 pandemic lead to the demise of the open floor plan, it is increasing the number of buyers looking at new-construction homes with high-tech amenities.

FLORIDA RELIEF: Florida announces $240 million in mortgage and rent relief

RUSH TO MONTANA: Interest in real estate in Bozeman, Missoula and the Flathead Valley has been on the rise for years, but real estate agents say that interest has hit a fever pitch in recent weeks as more people look to escape urban areas