Mortgage loan application volume fell 0.7% last week, faring slightly better than the prior week’s 13.1% drop but continuing a trend down, the Mortgage Bankers Association’s (MBA) weekly survey shows. The adjusted Market Composite Index, a measure of mortgage loan application volume, dropped 0.7%. The adjusted purchase index fell 2%, while the unadjusted purchase index rose 1% and was 9% lower YOY. The refinance index rose 1% and was down 56% YOY. Refinances made up 49.9% of total applications. Rising mortgage rates continue to impact application activity. Mortgage rates reached 4.15% last week, their highest since 2019, and are driving refinance applications down. “Although there was an increase in government refinance applications, higher rates continue to push potential refinance borrowers…
By SCOTT KIMBLER Across the country, especially in urban metropolitan areas, it’s becoming as difficult to find a rental property as it is to buy a home. “It’s just going to keep happening,” said economist Roy Black of Emory University’s Goizueta Business School. “It is the perfect storm: Supply chain issues, inflation, gas prices going up. It is everything happening from different angles. The middle class, even the upper middle class, is being squeezed. Prices are squeezing the people whose salaries are not increasing at the pace of the cost of living. About the only thing people can do is bargain-hunt until they find something or move farther and farther out where the rents are cheaper.” Elizbeth Rose with Mortgage…
Good Morning! Today is Friday, February 25. German Chancellor Olaf Scholz condemned Russia’s actions in Ukraine, stating that Europe “will not accept this violation of Ukraine’s sovereignty by Russia.” The United Kingdom banned civilian Russian aircraft from its airspace. The Mortgage Note Reports America’s MoneyLine CEO Fights Back: The CEO of California-based America’s MoneyLine is fighting back after being slapped with a $2.8 million lawsuit from lending giant United Wholesale Mortgage. Freddie Mac: Mortgage rates dropped last week after jumping to almost 4%, averaging just 3.89%.And in other mortgage and housing news… And in other mortgage and housing news… Jobless Claims: The number of Americans collecting unemployment benefits fell to a 52-year low after another decline in jobless aid applications…
Mortgage rates took a surprise turn down last week, averaging 3.89% after weeks of rising, Freddie Mac reported Thursday. Freddie’s Primary Mortgage Market Survey (PMMS) found that the 30-year fixed-rate mortgage (FRM) averaged 3.89%, down from 3.92%. A year ago at this time, the 30-year FRM averaged 2.97%. “Even with this week’s decline, mortgage rates have increased more than a full percent over the last six months,” said Sam Khater, Freddie Mac’s Chief Economist. “Overall economic growth remains strong, but rising inflation is already impacting consumer sentiment, which has markedly declined in recent months. As we enter the spring homebuying season with higher mortgage rates and continued low inventory, we expect home price growth to remain firm before cooling off…
Mortgage rates jumped to 3.92% from 3.69% this week, Freddie Mac reported Thursday. Freddie’s Primary Mortgage Market Survey (PMMS) found that the 30-year fixed-rate mortgage (FRM) averaged 3.96%. A year ago at this time, the 30-year FRM averaged 2.81%. “Mortgage rates jumped again due to high inflation and stronger than expected consumer spending,” said Sam Khater, Freddie Mac’s Chief Economist. “The 30-year fixed-rate mortgage is nearing four percent, reaching highs we have not seen since May 2019. As rates and house prices rise, affordability has become a substantial hurdle for potential homebuyers, especially as inflation threatens to place a strain on consumer budgets.” Demand remains high despite rising rates. Rate locks for purchase loans increased 19.9% month-over-month in January. “The…
Good Morning! Today is Tuesday, February 15. Russia said it would pull back some troops from around Ukraine. Donald Trump’s accounting firm cut ties with his family business and retracted years of financial statements. The SEC is probing the business of block trading on Wall Street, with subpoenas to firms including Morgan Stanley and Goldman Sachs as well as several hedge funds. The Mortgage Note Reports New Jersey Homeowners Can Apply For Up To $35K In Assistance: Eligible homeowners in New Jersey can receive up to $35,000 to help protect themselves against foreclosures. Multifamily Forecast: Commercial and multifamily mortgage loan originations were up 79% YOY in Q4 and 44% from Q3, while total lending is expected to break $1 trillion…
Overall rate locks rose 9.5% month-over-month in January, with a 19.9% increase for purchase loans and a 9.2% increase for cash-outs, Black Knight reported in its Originations Market Monitor. Rate/term refinance locks dropped for the fifth month straight, down 16.5% to its lowest level since May 2019. It is an 80% decline YOY. The refinance share of January originations fell to 43%, its lowest since July 2019. “With some $10 trillion in homeowner tappable equity in the market, it makes sense that we’d see cash-out refinance locks on the rise,” Happ said. “The significant jump in purchase originations can likely be attributed in part to typical pent-up, post-holiday demand. It could also represent skittish homebuyers hoping to lock in a…
Mortgage rates jumped to 3.69% from 3.55% this week, Freddie Mac reported Thursday. Freddie’s Primary Mortgage Market Survey (PMMS) found that the 30-year fixed-rate mortgage (FRM) averaged 3.69%. A year ago at this time, the 30-year FRM averaged 2.73%. “The normalization of the economy continues as mortgage rates jumped to the highest level since the emergence of the pandemic,” said Sam Khater, Freddie Mac’s Chief Economist. “Rate increases are expected to continue due to a strong labor market and high inflation, which likely will have an adverse impact on homebuyer demand.” The economy is slowly recovering. The Fed has said the labor market has recovered enough to implement rate hikes, with Fed Chairman Jerome Powell saying “labor market conditions have…
Despite an uptick in job numbers and an increase in personal incomes, there is still uncertainty about how the latest Labor Statistics Report will impact the housing market. The latest jobs report from the U.S. Bureau of Labor Statistics shows payroll employment growth as 467,000 in January and an increase of job growth at 1.8 million in the last three months of 2021. The report also shows an income increase of 5.7% since this time last year. In short, more people have jobs and nearly everyone is at least making a little more money. Elizabeth Rose is a Financial Planner and Lender with Mortgage 300 based in Dallas, Texas. She says the numbers show a lot of positive growth, but maybe not…
Good Morning! Today is Wednesday, February 9. New York State will drop its indoor mask mandate this week. Mitch McConnell denounced the RNC’s characterization of Jan. 6 as “legitimate political discourse.” The House passed a bipartisan bill to keep the Postal Service solvent and to reduce mail delays. The Mortgage Note Reports Gearing Up For The Big Game: Leaders at Rocket are inviting people to take a peek at the homes they could buy if they win the world’s largest official game of Super Bowl Squares and they have revealed which stars will appear in their ad. 2022 Expectations: Home price appreciation and stock shortages are likely to continue through the first few months of 2022, as December saw price growth pick back up…
