State of Housing, Mortgage Markets
The Great Recession -- and the housing boom and bust that set the stage for it -- are fading into distant memory. But a decade into the recovery, the U.S. housing market continues its frustratingly slow return to normalcy.
Purchases Out Front of Jump in Mortgage Apps
With purchase-money applications leading the way, weekly applications for home loans made a healthy ascension. Refinance share, however, continued to weaken.
Serious Mortgage Delinquency Down from Year Ago
While there was no month-over-month change in serious mortgage delinquency, there was a year-over-year improvement. Miami saw a significant increase.
|Increase in Mortgage Business Led by Conventional|
Conventional activity led a week-over-week increase in new mortgage business. Rate-term refinance share descended to a new record low, while purchase share was the highest it's been in six months. The jumbo-conforming spread thinned.
Mortgage Rates Rise, Could Climb Further
Interest rates on residential loans inched higher this past week, and the outlook -- both short-term and long-term -- is for further ascension thanks to inflation.
Weekly Mortgage Applications Decline
Originators of single-family loans were a little less busy this past week. Government share, meanwhile, was the greatest it's been in nearly three months. There was no change in the difference between jumbo rates and conforming rates.
Mortgage Jobs Expand, Bond Yields Decline
|FHA Share Balloons, Record Low Rate-Term Refi Share|
The share of prospective borrowers seeking loans insured by the Federal Housing Administration was wider than during any week since Mortgage Daily began tracking it, while rate-term refinance share was a record low. Jumbo interest rates deteriorated compared to their conforming counterparts.
Not only did the number of non-bank mortgage jobs expand on a monthly basis, but a weak overall jobs report has bond yields -- and potential home loan rates -- lower today.
Mortgage Rates Fall But Could Escalate
There was a nice decline in average rates for residential loans this past week. But one forecast has fixed rates giving back all the improvement over the next week.
LIBOR Replacement Goes Live
As the London Interbank Offered Rate nears retirement, quotes for a preferred replacement index for many of the loans and credit instruments that rely on it are now being published.