Saturday , 7 December 2019

Mortgage News Daily

Mortgage News Daily

Rates Snap Back to 3-Week Highs; Home Price Slump Reversing?

Mortgage rates have seen a fair amount of volatility so far this week, dropping quickly on Tuesday and moving in the opposite direction since then. Between yesterday and today, that big drop from earlier in the week has been completely erased. The result is an average conventional 30yr fixed rate that’s right in line with those seen on Monday. Unfortunately, …

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New FHA Loan Limits; Home Construction Not Keeping Up

Federal Housing Administration (FHA) Commissioner Brian D. Montgomery has announced the loan limits for FHA forward mortgages in 2020. The limits are based on the conforming loan limis announced last week by the Federal Housing Finance Agency (FHFA) for loans acquired by Fannie Mae and Freddie Mac. That basic conforming limit will be $510,400 for most of the United States, …

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Rates Quickly Erase Over a Month of Weakness; Could FHA Recovery Mean Lower Mortgage Insurance?

The Federal Housing Finance Agency (FHA) had to be bailed out by the U.S. Treasury during the financial crisis after its Mutual Mortgage Insurance Fund was nearly depleted. Congress has long mandated a 2.0 percent ratio in its fund, but the agency’s 2011 annual report reported the fund was down to 0.24 percent of its balance of guaranteed loans. In …

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Freddie Predicts Lower Rates in the Next Two Years; Private Sector Construction Concerns

We started this piece by noting that Freddie Mac’s economists wrapped up November in an unusually brief summary. Then we realized we had said almost exactly the same thing about the company’s Economic and Strategic Research (ESR) Group’s report last month. November’s, however, was even shorter. Should we conclude that, if no news is good news, things are getting better …

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Existing Home Sales Resume Gains, Realtors Say More to Come; Refi Share Highest in 4 Years

Existing-home sales got back on track in October, partially recovering from a 2.2 percent slip in September that ended a two-month winning streak. The National Association of Realtors® (NAR) said previously owned single-family houses, townhouses, condos, and cooperative apartments sold at a seasonally adjusted annual rate of 5.46 million during the month, a 1.9 percent increase from September. This put …

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