Residential Purchase Mortgage Applications posted the largest increase since early July, which many sources say is a result of increased inventory and slightly reduced mortgage interest rates.
Residential Purchase Mortgage Applications Increase
Notary Near You Blog
Anticipated Changes from the Federal Reserve
Many people working in the real estate and mortgage industry, as well as those considering buying or selling real estate, are watching the news and reports on expected changes from the Federal Reserve.
CNBC conducted a survey and share the results in this article written by Steve Liesman for CNBC:
Mortgage Refinance Volume Slows While First Time Home Buyer Applications Increase
The mortgage loan market has had shifts over the past couple months with an up this week, down last week pattern. Within that pattern is statistics that show refinance volume has slowed while first time home buyer applications have increased.
Single Family Home Sales Increase in July After 3 Months of Decline
Surging home prices and strong demand caused a three month reduction in single family homes sales, but this trend was reversed with a small 1% increase in July.
Understanding Home Sales Statistics
It is well known that home sales and mortgage loan statistics have reached and surpassed historic performance. With a variety of sources for how these statistics are tracked, it can become confusing to understand.
Adverse Market Fee is Being Eliminated
The Adverse Market Fee is defined as a 0.5% fee added in 2020 to refinanced mortgage loans backed by Fannie Mae and Freddie Mac (about 70% of all home loans). It was charged to lenders and usually passed on to homeowners through closing costs, as an addition to their loan amount or by a raised interest rate.
High Demand and Low Inventory equals Increased Prices, Resulting in Reduced Home Sales
Mortgage loan applications for new home purchases dropped 9 percent in April 2021, and it was the third straight month of reduced application volume.
Misleading Headlines Confuse Borrowers: Are Interest Rates Higher or Lower?
If you’ve found yourself confused by recent headlines relating to mortgage interest rate, you are not alone! When reliable sources report contradictory information, even the leaders in the industry are left scratching their heads.
California’s Hot Real Estate Market Continues to Rise
Sale of residential properties in California continue to perform at the hottest pace in history, resulting in a 65% increase in number of sales over the same period last year. The number of homes sold above asking price, the price per square foot, and the sales-to-list price records are all at industry highs.
Fed Bank President Comments on Future of Interest Rates
In a recent article on Reuters.com they report that “Fed officials agreed last month to leave interest rates near zero and to keep purchasing $120 billion a month in bonds until the U.S. economy makes substantial further progress toward the Fed’s goals for inflation and maximum employment” They further inform us that “Fed Bank President Robert Kaplan said on Monday that he still thinks it is possible the U.S. central bank could raise interest rates before the end of 2022, reaffirming the projection he made during the March policy-setting meeting.“