The Key to Reducing Post-Refi Boom Borrower Churn

In this webinar, PRMG Chief Lending Officer Kevin Peranio will help attendees sort through the right technologies as he shares the tech investments that have had the biggest impact on his business.

Tracey Velt breaks down the latest RealTrends 500 rankings

During the episode, Velt highlights which brokerages achieved top rankings in both categories for 2020, and shares what stood out to her the most about the rankings.

Navigating Closing Struggles in 2021’s Purchase Market

Join this webinar to discover the most current information on hybrid and full eNote eClosings and discuss key criteria to successfully implementing your eClosing strategy.

About 7M refi candidates missed the “forever rate” boat

Rates jumped to 3.17% last week and Black Knight reported that there are now just 11.1 million “high quality” refi candidates. The smallest number of potential refi candidates in a year.

Mortgage

Holiday week sees drop in mortgage applications

MBA still predicts strongest year for originations since 2003

The Mortgage Bankers Association reported that applications dropped 0.6% during the week ending Nov. 27 in its latest weekly survey.

The refinance index decreased as well, down 5% from the previous week but up 102% over last year’s totals from the same week. The seasonally adjusted purchase index did increase – up 9% from one week earlier – while the unadjusted purchase index decreased 28% compared with the previous week.

Joel Kan, MBA’s associate vice president of industry and economic forecasting, noted that numbers for this report were always going to be “mixed” following the Thanksgiving holiday.

“Purchase activities continued to show impressive year-over-year gains, with both the conventional and government segments of the market posting another week of growth,” Kan said. “Purchase loan amounts continue to be significantly higher than their average over the past decade and hit $375,000 last week, the largest since the inception of MBA’s survey in 1990. Housing demand remains strong, and despite extremely tight inventory and rising prices, home sales are running at their strongest pace in over a decade.” 

Kan added that a sustained period of low mortgage rates continues to “spark borrower demand,” leading to the mortgage industry being poised for its strongest year in originations since 2003.


How the mortgage industry is working together to make housing more affordable

The issue of housing affordability has no one solution, but with collaboration across the entire housing industry, together we can create more opportunity for more people to achieve sustainable, long-term homeownership.

Presented by: Fannie Mae

“The ongoing refinance wave has been beneficial to homeowners looking to lower their monthly payments during these challenging economic times brought forth by the pandemic,” he said. 

The refinance share of mortgage activity decreased to 69.5% of total applications from 71.1% the previous week. The adjustable-rate mortgage share of activity decreased to 1.8%, from 1.9% last week.

Here is a more detailed breakdown of this week’s mortgage application data:

  • The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($510,400 or less) remained unchanged at 2.9% from the previous week
  • The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $510,400) increased to 3.19% from 3.18%
  • The average contract interest rate for 30-year fixed-rate mortgages increased to 3% from 2.99% – a survey-low, as reported last week
  • The average contract interest rate for 15-year fixed-rate mortgages decreased to a survey-low 2.53% from 2.51%
  • The average contract interest rate for 5/1 ARMs increased to 47% from 2.63%

Leave a comment

Most Popular Articles

Millions will enter housing market in 2021: Zillow

Up to 2.5 million households could enter the housing market in 2021, per Zillow. The buyers will descend on the “secondary cities” across the U.S.

Apr 07, 2021 By

Latest Articles

William Raveis ain’t no stinkin’ iBuyer

Like others, resi brokerage & lender William Raveis is happy to buy your home. But its new program doesn’t mean it’s an iBuyer.

Apr 09, 2021 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please