Morning Roundup (4/14/2022)– Tech-Based Solutions For Racial Discrimination

Good Morning! Today is Thursday, April 14. The U.S. will send another $800 million in military aid to Ukraine, and it will share intelligence on Russian troop positions. Two Omicron subvariants may be driving rising cases in New York State. The Centers for Disease Control and Prevention extended the federal mask mandate on planes and other forms of transit for two weeks. The Mortgage Note Reports Loan Apps Fall: Mortgage loan application volume fell another 1.3% last week as rates hit 5.13%, their highest level since November 2018. PCR Model: Commercial price growth may continue rising as property values may not yet have reached their cyclical peak, according to First American’s PCR Model. Opinion: Kevin B. Kimble, founder and CEO…

Guaranteed Rate No. 8 Chevrolet To Debut In NASCAR Race

By KIMBERLEY HAAS Race car driver Tyler Reddick will debut the new Guaranteed Rate No. 8 Chevrolet at the first-ever Busch Light Clash at the Coliseum this Sunday. Reddick said Sunday’s event is an exhibition race, so points do not matter and all the drivers will be going all-out to try and win. “It’s going to be a wild race for drivers and fans alike, so I couldn’t think of a better place to officially debut Guaranteed Rate’s amazing new look,” Reddick said in an article for Guaranteed Rate. Guaranteed Rate Vice President of Marketing and Sports Partnerships Steve McNelley says they are thrilled about the partnership. The company specializes in mortgage lending and digital financial services. “Our focus on…

Morning Roundup (1/28/2022)– Forbearance Plans Up, Rates Flat

Good Morning! Today is Friday, January 28. Economic output in the U.S. grew 5.7% over the past year, the biggest annual increase in decades. Biden told Ukraine’s president that the U.S. was ready to respond forcefully to any Russian aggression. A federal judge revoked Gulf of Mexico oil and gas leases, ruling the Biden administration failed to consider climate change when it sold them. The Mortgage Note Reports Predicting The Future: Higher interest rates will be a big issue for homebuyers in 2022. Will they drive down mortgage business? Rates Settle: After weeks of steadily rising, interests rates stayed steady last week, averaging 3.55%. Black Knight: Forbearance exits rose for the second week in a row, up by 19,000 plans…

Morning Roundup (1/25/2022)– Emerging Markets, Mortgage Scheme Victims Can Apply For Compensation

Good Morning! Today is Tuesday, January 25. President Biden was caught cursing about a Fox News reporter on a hot mic. Stocks continued a selloff at the opening bell this morning as investors worry over Fed policies and global politics. The Supreme Court will hear cases challenging affirmative action, focused on Harvard and the University of North Carolina. In mortgage and housing news… The Mortgage Note Reports Victims of Mortgage Ponzi Scheme Can Seek Compensation: People who were victimized by what investigators have called the biggest Ponzi scheme in New Hampshire history can apply for compensation. Big Cities Making A Comeback: More expensive, populated housing markets appeared on the quarterly Wall Street Journal/Realtor.com® Emerging Housing Markets Index, which could signal…

MBA: Loan Application Volume Falls 4%

Mortgage loan application volume dropped 4% last week, overwhelming a 2% increase from the week prior, the Mortgage Bankers Association’s (MBA) weekly survey reported. The seasonally adjusted Market Composite Index, a measure of mortgage loan application volume, rose 4%. The seasonally adjusted purchase index rose 1%, while the unadjusted purchase index fell 4% and was 9% lower YOY. The refinance index fell 6% and was down 41% YOY. Refinances made up 63.3% of total applications. The report noted that refinances fell even though rates remained steady week to week. Interest rates are 40 basis points higher year-over-year, however, in line with the 41% drop in refinances from the same period in 2020. “Fewer homeowners have a strong incentive to refinance…

OCC: Serious Delinquencies Down YOY At Major Banks

Seriously delinquent mortgages dropped by more than half year-over-year (YOY) at seven national banks, according to a report from the Office of the Comptroller of the Currency. Though the findings are optimistic, the banks in the study– Bank of America, Citibank, HSBC, JPMorgan Chase, PNC, U.S. Bank, and Wells Fargo– were handling almost 1,900 fewer loans YOY, complicating the final picture. Overall, the banks serviced about 12.5 million first-lien residential mortgage loans, totaling $2.59 trillion in unpaid principal balances. This is 23% of all U.S. residential mortgage debt. In Q3 2020, $2.866 trillion or 14,393 loans. The share of mortgages that were current at the end of Q3 2021 was 95.6%, up from 92.5% in Q3 2020. The seven banks…

CFPB Singles Out Mortgage-Related Violations In New Report

Delinquency fees charged to forbearance-holders, payment handling violations, and pricing discrimination are among the mortgage-related violations highlighted by the Consumer Finance Protection Bureau’s (CFPB) latest Supervisory Highlights report. “Today’s report reveals that irresponsible or mismanaged firms harmed Americans during the COVID-19 pandemic,” said CFPB Director Rohit Chopra. “We will continue to supervise firms to halt harmful practices before they become widespread.” The report, which did not name particular companies, outlined illegal actions the CFPB claims to have observed in the first half of 2021. The CFPB supervises banks with assets of more than $10 billion and some non-banks, including mortgage companies, private student lenders, and payday lenders. The report called out mortgage lenders for the following: charging delinquency-related fees to…

Renters Were 3X More Likely To Miss Payments Than Homeowners In September, October

Renters were three times more likely to miss payments than homeowners during September and October, according to research from the Mortgage Bankers Association’s (MBA) Research Institute for Housing American (RIHA). The study, titled Housing-Related Financial Distress During the Pandemic, found that the share of renters who missed, delayed, or made a reduced payment rose to 9.6% in September and 10.9% in October. In July, that number was 9.6%.  The share of homeowners who missed payments declined in the same period, to 3.2% in September, though it rose again in October to 3.8%. In July, that number was 3.8%, while in June it was 4.6%. Of those who missed their June rent, 17.2% also missed their September rent. Of homeowners who…

Analysts Are Cautiously Optimistic Omicron Won’t Damage Housing Market

Investors and economic analysts are closely monitoring Omicron, the Covid-19 variant taking the news cycle by storm, as the country enters the busy holiday season. The question on mortgage professionals’ minds is: how will Omicron affect the housing market? Analysts’ answers are mixed, but the overall trend is cautious optimism. “Right now, we are looking at pretty severe reactions to the omicron news in the stock market,” Tomas Jandik, a finance professor at the University of Arkansas in Fayetteville, told Realtor.com. “The residential market may be more immune to COVID because of what we have already seen in the past waves of the virus.” “It is unlikely that rates will move down any further due to the new Omicron variant,”…

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…