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 forbearance pace continues to slow, MBA says

The number of loans in forbearance increased 10 basis points for the week ending May 24

The pace of borrowers seeking delayed mortgage payments is slowing, according to data released Monday by the Mortgage Bankers Association.

The number of loans in forbearance increased 10 basis points for the week ending May 24, to 8.46% of outstanding home loans from 8.36% the prior week, the MBA said. That’s the smallest increase reported week-over-week since the week of March 9.

About 4.2 million mortgages are in forbearance, the report said.

“MBA’s survey continues to indicate that fewer homeowners are seeking forbearance as more states across the country reopen their economies and prospects begin to improve,” said Mike Fratantoni, MBA’s chief economist, in a statement. “Policy support for households, including expanded unemployment insurance benefits and other transfers, have helped many stay on their feet during this crisis.”

About one in every four workers, or about 40 million Americans, filed for unemployment benefits since the COVID-19 pandemic started, according to last week’s data from the Labor Department. The $2.2 trillion CARES Act, passed in late March, expanded jobless benefits by adding $600 a week to state payouts.

Broken out by investor type, Ginnie Mae mortgages – primarily backed by the Federal Housing Administration and the Veterans Administration – had the largest overall share of loans in forbearance.

“With 11.82% of Ginnie Mae loans currently in forbearance, FHA and VA borrowers are struggling the most,” Fratantoni said. That’s up from 11.6% the prior week.

The share of Fannie Mae and Freddie Mac loans in forbearance increased week-over-week by three basis points, to 6.39% from 6.36%.

For other mortgages held by lenders, such as private-label securities and portfolio loans, the forbearance share rose to 9.67% from 9.54% the previous week.

By comparison, the overall forbearance rate was 0.25% before the coronavirus shut down the U.S. economy, MBA has said.

Forbearance requests dropped across all investor types for the sixth consecutive week versus the prior week, to 0.2% from 0.28% of servicing portfolio volume, Monday’s report said.

Weekly call center volume has also declined to the lowest level since the forbearance survey series started the week of March 2, MBA said, to 6.6% from 8.6% of servicing portfolio volume. That’s led to further declines in wait times and abandonment rates, Fratantoni said.

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