Closing Complex Loans Faster With a Digitized Client Workflow

Join us for a discussion on changes in market demographics, suppliers and how focusing on customer experience and a few simple steps during the mortgage loan process can close deals 3x faster.

engage.marketing event: All eyes on purchase

To help power your business forward, we’re bringing together the smartest minds in purchase mortgage marketing to share the insights, tactics and strategies that set leaders apart.

Home appraisal’s ugly history and uncertain future

This is Part I of a deep dive into the home appraisal industry. Today we explore the origins of the appraisal industry and its current lack of diversity.

The digital journey starts at acquisition

Download this white paper to learn how to build a tech-enabled acquisition strategy that will directly contribute to a lender’s ability to maximize profitability and remain competitive.

Mortgage

For the third week in a row, mortgage rates stay at 2.73%

But rising home prices still hinder the market

For the third week in a row, the average mortgage rate for a 30-year fixed loan remained unchanged at 2.73%, according to Freddie Mac’s Primary Mortgage Market Survey.

Even though rates remained at their record low levels, mortgage applications dipped, with some economists pointing to overheated home prices and lack of supply for applications seesawing.

“The residential real estate market remains solid given healthy purchase demand while implied real-time home price growth is high, due to the inventory shortage that is plaguing the housing market,” Sam Khater, chief economist at Freddie Mac, said.

According to Joel Kan, Mortgage Bankers Association‘s vice president of economic and industry forecasting, despite some weekly volatility, Treasury rates have been driven higher by expectations of faster economic growth as the COVID-19 vaccine rollout continues.

“New COVID-19 cases are receding, which is encouraging and that has led to a rise in Treasury rates. But, the run-up in Treasury rates has not impacted mortgage rates yet, which have held firm,” Khater said.

A year ago at this time, the 30-year FRM averaged 3.47%, and the 15-year fixed-rate mortgage has also maintained a substantial low compared to last year, dropping to 2.19% last week.

With rates settling below 3% for six months now, homeowners are taking advantage of lowering mortgage rates – the MBA estimates refinances are still making up over 70% of mortgage activity. However, as economists warn that rates will make their way up, loan teams will need to buckle down for a drop in refi activity.

“It’s a tale of two economies. The services economy remains in the doldrums, but the production side of the economy remains strong,” Khater said.

Unemployment numbers for January painted a similar picture, as another month of rising COVID-19 cases left the U.S. unemployment situation virtually unchanged for the third month in a row.

Leave a comment

Most Popular Articles

Fannie Mae, and the housing market’s inflation problem

Another month of steadily increasing home prices and insatiable demand led Fannie Mae’s Economic and Strategic Research Group to alter many of its 2021 predictions – in particular, its outlook on the symbiotic relationship between the housing market and inflation measures.

Jun 16, 2021 By

Latest Articles

Doug Duncan and the housing market’s supply conundrum

The housing market has suffered due to high material prices, spend-anything buyers & a lack of supply. A return to normalcy will require big changes. HW+ Premium Content

Jun 18, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please