What to expect at HousingWire’s Spring Summit

The focus of the Summit is The Year-Round Purchase Market. Record low rates led to a banner year for mortgage lenders in 2020, and this year is expected to be just as incredible.

Increasing lending and servicing capacity – regardless of rates

Business process outsourcing and digital transformation are proven solutions that more companies in the mortgage industry are turning to. Download this white paper for more.

HousingWire's 2021 Spring Summit

We’ve gathered four of the top housing economists to speak at our virtual summit, a new event designed for HW+ members that’s focused on The Year-Round Purchase Market.

An Honest Conversation on minority homeownership

In this episode, Lloyd interviews a senior research associate in the Housing Finance Policy Center at the Urban Institute about the history and data behind minority homeownership.

Mortgage

Low mortgage rates will push home lending to 12-year high

Lenders will fund $2.07 trillion of mortgages in 2019, MBA says

Low mortgage rates will push home lending this year to a 12-year high of $2.07 trillion, the Mortgage Bankers Association said in a forecast.

The volume for mortgages to purchase homes probably will total $1.27 trillion, the highest since the peak of the housing bubble in 2006, according to the group’s Nov. 20 forecast.

Refinancing probably will reach $796 billion, the most since 2016, MBA said.

Mortgage rates unexpectedly tumbled for the first nine months of 2019 as a slowing economy sent investors flocking to bonds. The monthly average rate for a 30-year fixed mortgage dropped to 3.61% in September before rising eight basis points in October, according to Freddie Mac data.

Even at 3.69%, the October rate is more than a percentage point lower than a year earlier.

Sales of existing homes probably will total 5.36 million in 2019, up from 5.34 million last year, the trade group said. New-home sales probably will reach 681,000, up from 615,000 in 2018, MBA said.

The average U.S. rate for a 30-year fixed mortgage likely will remain low at 3.7% in 2019 and 2020, the trade group said. That’s more than a percentage point lower than the 4.8% average in 2018, MBA said.

Home prices probably will gain 4.3% in 2019 from a year earlier, the group said. That’s a slower pace than the 6.1% annual increase in 2018.

MBA bases its home-price forecast on the Federal Housing Finance Agency’s index that measures sales of single-family homes with mortgages backed by Fannie Mae and Freddie Mac.

The homebuilding industry this year will have the highest output in more than a decade, according to the forecast. Builders probably will break ground on 878,000 new single-family homes, up from 873,000 last year, MBA said. That would be the most since 2007, according to data from the Department of Commerce.

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