The next wave of servicing regulation is coming – Are you ready?

Join this webinar to learn what servicers need to know about recent and upcoming servicing compliance regulations and strategies experts are implementing to prepare for servicing regulatory audits.

Inside Look: RealTrends 2021 Brokerage Compensation Study

Steve Murray, senior advisor to RealTrends, gives an exclusive first look at the 2021 RealTrends Brokerage Compensation Report.

Logan Mohtashami on trends in forbearance exits

In this episode of HousingWire Daily, Logan Mohtashami discusses several hot topics in the housing market, including recent trends in forbearance exits and future homebuyer demand in the midst of inventory shortages.

How lenders can prepare for increasing regulatory pressures

As compliance becomes an increased focal point for mortgage lenders and investors, staying ahead of state and federal regulations can be the difference between a flourishing business and one mired in fines.

Mortgage

Freddie Mac: Mortgage rates finally drift back above 4%

First time since November 2014

Mortgage rates are officially back above 4% for the first time in over seven months, Freddie Mac’s Primary Mortgage Market Survey found.

While finally above the 4% threshold, mortgage rates have steadily increased for the past week weeks.

Click to enlarge

Rates

Source: Freddie Mac

The 30-year fixed-rate mortgage averaged 4.04% with an average 0.6 point for the week ending June 11, up from last week when it averaged 3.87%. A year ago at this time, the 30-year FRM averaged 4.20 percent.

The last time the 30-year FRM was above 4% was in November 6, 2014 when it averaged 4.02%.

The 15-year FRM jumped to 3.25%, up from last week’s 3.08%. In 2014, the 15-year FRM averaged 3.31%. 

In addition, 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.01%, up from last week when it averaged 2.96%. A year ago, the 5-year ARM averaged 3.05%.

The 1-year Treasury-indexed ARM averaged 2.53% this week, down from last week when it averaged 2.59%. At this time last year, the 1-year ARM averaged 2.40%

“Mortgage rates rose above 4% for the first time since November 2014 as Treasury yields surged. Markets are responding to strong employment data,” said Len Kiefer, deputy chief economist with Freddie Mac.

“In May, the U.S. economy added 280,000 jobs. Moreover, job openings surged to 5.4 million in April, up over 20% from a year ago,” Kiefer added.

Bankrate posted similar results, with its benchmark 30-year fixed mortgage rate climbing to 4.15%, up from 4.03% last week.

The 15-year, FRM increased to 3.39%, up from 3.26% last week, while the 5/1 ARM escalated to 3.24%, up from 3.18% last week.

“Mortgage rates rocketed higher following a stronger than expected monthly employment report. The good news on the job front further solidifies the notion that the Federal Reserve will likely begin raising interest rates soon, perhaps in the third quarter of this year,” analysts with Bankrate said about the report.

“The job market is one area the Fed has specifically pointed to as needing to show further improvement before they'd be comfortable raising short-term interest rates, and further improvement is what we have seen,” continued Bankrate. 

Most Popular Articles

Treasury removes restrictions on investment properties

The Treasury Department and FHFA announced Tuesday that they are suspending certain requirements that were added in January to the Preferred Stock Purchase Agreements (PSPAs) between Treasury and Fannie Mae and Freddie Mac.

Sep 14, 2021 By

Latest Articles

Natural disasters and forbearance: What borrowers and mortgage servicers need to know

The United States is grappling with a sharp rise in natural disasters, including wildfires, an active hurricane season, floods, tornadoes and mudslides. The mortgage industry needs to be proactive in examining programs to help borrowers recover.

Sep 17, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please