An Insider’s Look Into How Secondary Marketing Evaluates LOs

In this webinar we’ll explore the long-term financial impacts of renegotiations, extensions and fallouts, plus basic guidelines to be viewed as a professional by your secondary marketing department

HousingWire Annual Virtual Summit

Sessions from HousingWire Annual 2021 are going to be virtually streamed on October 25. Register now for FREE to tune into what housing industry leaders had to say this year!

How servicers can access timely, accurate data insights

Learn how to navigate the challenges in today’s market – for example, the need for ongoing, on-demand access to near-real-time data and the ability to access those data insights in a timely and accurate manner.

Steve Murray on new brokerage models, CFPB crackdowns

Today’s HousingWire Daily features a discussion on the emergence of a new brokerage model and the validity behind the concerns against institutional investors.

Mortgage

Mortgage rates fall to an all-time low

The average U.S. rate for a 30-year fixed mortgage dropped to 3.29% this week

The average U.S. rate for a 30-year fixed mortgage fell to 3.29% this week, the lowest ever recorded by Freddie Mac in a series that goes back to 1971.

The rate fell 16 basis points from the prior week after the worst stock retreat since the 2008 financial crisis sent investors piling into the bond markets. The yield on 10-year Treasuries, a benchmark for mortgage investors, fell to a record low this week as money managers sought safe havens amid coronavirus fears.

Falling home-loan rates have boosted mortgage applications, a sign the housing market may help the U.S. economy stave off a recession, said Sam Khater, Freddie Mac’s chief economist.

Mortgage applications increased 10 percent last week from one year ago and show no signs of slowing down,” Khater said. “Given these strong indicators in rates and sales, as well as recent increases in new construction, it’s clear the housing market continues to be a positive force for the broader economy.”

In addition to making home purchases more affordable as the housing market enters its spring selling season, falling rates are spurring more Americans to refinance, according to the Mortgage Bankers Association. That will lower their monthly bills and give them more money for the consumer spending that accounts for about 70% of the U.S. economy.

Conventional refinance applications jumped more than 30% last week, Mike Fratantoni, MBA chief economist, said in a report on Wednesday.

Mortgage rates are falling “amidst increasing concerns regarding the economic impact from the spread of the coronavirus, as well as the tremendous financial market volatility,” Fratantoni said. “Refinance demand jumped as a result.”

In addition to a drop in the 30-year fixed, other rates dropped as well, according to the Freddie Mac survey. The 15-year fixed rate averaged 2.79%, down from 2.95% last week.

The five-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.18%, down from last week’s rate of 3.20%. 

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