Rate/Term Refinances Reach Lowest Point Since February 2020

Rate lock volume fell 4.7% month-over-month in November, Black Knight’s latest Originations Market Monitor report found. It is the third straight month of overall declines. The drop was driven by rate/term refinance originations, which fell 9.4% from October and almost 65% year-over-year (YOY), its lowest level since February 2020. Rate/term refinance dropped in eight out of eleven months in 2021. Locks on purchase and cash-out refinance fell 3.9% and 2.5% from October, respectively. However, they are still higher than 2020, with purchase locks up 13% YOY and cash-outs up 36% YOY. “While 30-year rates ended November relatively flat from where they were at the start of the month, there was some volatility in rate offerings throughout the month,” said Black…

Homebuyer Demand Hits Highest Level Since 2017

Redfin’s Homebuyer Demand Index hit an all-time high since at least 2017 as the number of listed homes remains seasonally elevated compared to past years. The report shows the market speeding up, with an increasing number of homes selling in two weeks or less and demand increasing even as listings trend down.  “The economy is recovering strongly and mortgage rates are still near all-time lows. Those two forces combined have caused homebuying demand to hit a record high,” said Redfin Chief Economist Daryl Fairweather.  For homes sold in the four-week period ending November 14, the median sale price rose 13% year-over-year (YOY) to $357,881, up 30% from 2019 and 2.1% from October. Asking prices were also up 13% YOY, and…