True Stories: Hybrid, eNote and RON Implementation

Join expert panelists that will discuss the status of federal legislation, trends in digital adoption and how best to prepare your organization for the next generation of lending processes.

Spruce’s Patrick Burns on innovation in title technology

In the season finale of Housing News season 5, Spruce CEO discusses heightened investor interest in title tech, innovation and fintech adoption.

Top CFPB official “hates” QM rules, jeopardizing safe harbor

A top CFPB official in charge of the rule-making process has heavily criticized the agency's own qualifying mortgage rule, jeopardizing safe harbor.

Don’t sleep on non-QM products

Now is the perfect time for originators to consider expanding to non-QM products – to grow business, diversify their offerings and to ensure an opportunity to better serve their customers.

Mortgage

Freddie Mac: 30-year mortgage reverses course, drops

Shocking jobs report impacts rates

Erasing an upward trend witnessed for the past several weeks, average fixed mortgage rates dropped due to the May employment report coming in well below expectations, Freddie Mac’s Primary Mortgage Market Survey showed.

May’s nonfarm payroll employment only increased 38,000, which was much lower than the anticipated 160,000, according to the U.S. Bureau of Labor Statistics.

“Growing optimism about the state of the economy was quickly erased with May’s employment report,” said Sean Becketti, chief economist, Freddie Mac. “The disappointing release caused an immediate flight to quality resulting in the 10-year Treasury yield dropping 10 basis points on Friday.”

Click to enlarge

rates

(Source: Freddie Mac)

The 30-year fixed-rate mortgage averaged 3.60% for the week ending June 9, 2016, down from last week when it averaged 3.66%. This is well below a year ago at this time when the 30-year FRM averaged 4.04%. 

Becketti added, “This week marks the 10th consecutive week the 30-year rate has averaged under 3.7%, allowing an extended window for homebuyers to take advantage of these historically-low borrowing costs.”

Similarly, the 15-year FRM this week averaged 2.87%, down from last week when it averaged 2.92%. A year ago at this time, the 15-year FRM averaged 3.25%. 

The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 2.82% this week, falling from last week’s average of 2.88%. A year ago, the 5-year ARM averaged 3.01%.

Most Popular Articles

Volume-hungry mortgage lenders loosen credit standards

Mortgage credit availability loosened up in April by 2.2%, per the MBA. The drivers were in conventional mortgages and GSE programs for ARMs and high-balance loans.

May 11, 2021 By

Latest Articles

UWM has a plan to win a war of mortgage attrition

UWM’s margins will fall all the way down to 75 to 110 bps. Mat Ishbia says it’s the perfect environment to prove that his mortgage firm is truly elite. HW+ Premium Content

May 14, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please