Mortgage Rates Move Up Just Barely

Mortgage rates were basically stagnant last week, staying put in the upper-6% range yet again. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.82%, up just slightly from the week prior’s 6.79%. A year ago at this time, the 30-year FRM averaged 6.28%. The 15-year fixed rate also fell from 6.11% to 6.06%. A year ago, it averaged 5.64%.  This week’s data reinforces that rates have stabilized in the 6%’s for the moment. “Since the start of 2024, the 30-year fixed-rate mortgage has not reached 7% but has not dropped below 6.6% either,” said Sam Khater, Freddie Mac’s Chief Economist. “While incoming economic signals indicate lower rates of inflation, we do not expect rates will decrease…

Rates Move Down Slightly

Mortgage rates fell last week but remained in the high-6% range. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.79%, down from the week prior’s 6.87%. A year ago at this time, the 30-year FRM averaged 6.32%. The 15-year fixed rate also dropped from 6.21% to 6.11%. A year ago, it averaged 5.56%.  “Mortgage rates moved slightly lower this week, providing a bit more room in the budgets of some prospective homebuyers,” said Sam Khater, Freddie Mac’s Chief Economist.  “We also are seeing encouraging data on existing home sales, which reflects improving inventory. Regardless, rates remain elevated near 7% as markets watch for signs of cooling inflation, hoping that rates will come down further.” Both existing…

Former Fannie Mae Exec Named CEO Of Meridian Capital

Commercial real estate juggernaut Meridian Capital Group named former regulator Brian Brooks as its Chairman and CEO. Brooks takes the reigns from co-founder Ralph Herzka, who will remain with the company as Senior Chairman. The change-over will take place in April. Herzka helped found Meridian in 1991 and steered it to the forefront of commercial mortgage origination. “As we look to institutionalize Meridian as a world-class company and further diversify our revenues, there is no better steward of our future than Brian. He is an outstanding and recognized leader in financial services, and I am excited to work with him to build on our firm’s foundation of unparalleled experience and market intelligence,” Herzka said in a press release. Brooks is…

Rates Back Up To Near 7%

Rates took a turn for the worse last week, rising back to nearly 7%, as economic data soured analysts’ moods on easing rates. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.87%, up from the week prior’s 6.74%. A year ago at this time, the 30-year FRM averaged 6.42%. This breaks a two-week streak of declines. Mortgage applications slipped this week as rate-sensitive Americans backed away from the market.  The 15-year fixed rate also rose from 6.16% to 6.21%. A year ago, it averaged 5.68%. The Central Bank outlined cuts to come in 2024 but held the benchmark rate steady during their March meeting. Inflation has eased over the past year but committee members do not…

Rates Cool Down, Increasing Demand

Mortgage rates broke a month-long upward streak, deflating for the first time in weeks and resulting in a purchase demand boost. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.88%, down from the week prior’s 6.94%. A year ago at this time, the 30-year FRM averaged 6.73%. This is the first decline in four weeks. The 15-year fixed also fell, dropping to 6.22% from 6.26%. A year ago, it averaged 5.95%. “Evidence that purchase demand remains sensitive to interest rate changes was on display this week, as applications rose for the first time in six weeks in response to lower rates,” said Sam Khater, Freddie Mac’s Chief Economist.  Mortgage loan applications were up nearly 10% from…

First-Time Buyers Took Out Record Number Of GSE Loans In 2023

First-time homebuyers accounted for a record number of GSE purchase loans in 2023, while originations sunk to new lows, according to ICE’s latest Mortgage Monitor. They made up 55% of agency purchases last year, the highest share ever recorded by ICE in the ten years it has been tracking this metric. “The market in which these folks purchased their first home was one of record house prices, ballooning down payments, rising rates, and elevated DTIs,” Andy Walden, ICE Vice President of Enterprise Research Strategy, said. “Given record exposure to first-time homebuyer loans, it’ll be worth watching the performance of this cohort very closely moving forward, particularly for those invested in 2023 agency MBS.” First-timers and repeat buyers differed greatly in…

Rates Up For A Fourth Week, Skirting 7%

Mortgage rates inched up to a two-month high last week, putting pressure on hopeful spring homebuyers. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.94%, up from the week prior’s 6.90%. A year ago at this time, the 30-year FRM averaged 6.65%. This is the fourth consecutive week of increases. The 15-year fixed fell, however, to 6.26% from 6.29%. A year ago, it averaged 5.89%. “The recent boomerang in rates has dampened already tentative homebuyer momentum as we approach the spring, a historically busy season for homebuying,” said Sam Khater, Freddie Mac’s Chief Economist. “While sales of newly built homes are trending in a positive direction, higher rates and elevated prices continue to pose affordability challenges…

Rates Averaging Close To 7%

Mortgage rates aren’t going down as the spring homebuying season rapidly approaches. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.90%, up from the week prior’s 6.77%. A year ago at this time, the 30-year FRM averaged 6.50%. The 15-year fixed jumped to 6.29% from 6.12%. A year ago, it averaged 5.76%. “Strong incoming economic and inflation data has caused the market to re-evaluate the path of monetary policy, leading to higher mortgage rates,” said Sam Khater, Freddie Mac’s Chief Economist.  “Historically, the combination of a vibrant economy and modestly higher rates did not meaningfully impact the housing market. The current cycle is different than historical norms, as housing affordability is so low that good economic…

Rates Jump After Dour Inflation Data

Tough inflation data led to mortgage rates increasing for a second straight week. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.77%, up from the week prior’s 6.64%. A year ago at this time, the 30-year FRM averaged 6.32%. The 15-year fixed jumped to 6.12% from 5.90%. A year ago, it averaged 5.51%. “On the heels of consumer prices rising more than expected, mortgage rates increased this week,” said Sam Khater, Freddie Mac’s Chief Economist.  “The economy has been performing well so far this year and rates may stay higher for longer, potentially slowing the spring homebuying season. According to our data, mortgage applications to buy a home so far in 2024 are down in more…

Rates Hold Steady at 6.64%

Rates stayed basically the same last week, inching up just slightly. Officials at Freddie Mac reported Thursday that the 30-year fixed-rate mortgage averaged 6.64%, barely budging from the week prior’s 6.63%. A year ago at this time, the 30-year FRM averaged 6.12%. Rates have stuck around the mid-6’s  for about two months now. The 15-year fixed decreased to 5.90% from 5.94%. A year ago, it averaged 5.25%. “The economy and labor market remain strong with wage growth outpacing inflation, which is keeping consumer spending robust,” said Sam Khater, Freddie Mac’s Chief Economist. “Meanwhile, affordability in the housing market is an ongoing issue due to continued high home prices, elevated mortgage rates and low supply of homes on the market, particularly…