The current groundswell of interest in down payment assistance is a silver lining for lenders amid stormy market conditions, creating an opportunity to answer the GSEs’ calls for greater housing equity while building revenue and lasting customer relationships in a tough mortgage market.
Category: News and Trends
MBA Weekly Survey Feb. 1, 2023: Applications Drop Despite 4th Week of Falling Rates
Mortgage applications fell from one week earlier despite another drop in interest rates, the Mortgage Bankers Association reported Wednesday in its Weekly Mortgage Applications Survey for the week ending January 27.
Quote: Feb. 2, 2023
“While the FOMC statement noted that inflation has ‘eased somewhat,’ the unanimous vote of monetary policymakers to raise rates another 25 basis points – and signal that further increases are likely – indicates that markets should anticipate that the Federal Reserve will keep short-term rates higher for longer.”
–MBA Chief Economist Mike Fratantoni.
Mark P. Dangelo: In the ‘Year of the Rabbit,’ Data is a Slow Tortoise (Part 2)
Digital and industry reimaging has provided a new, integrated product solution defined by equal parts of data sciences, technologies, and business experience. Data-as-a-Product (DaaP) represents a process and organizational mindset-shift for many within financial and mortgage services, yet when adopted, the new revenue generated and efficiencies gained, illustrates the next-gen business cycle.
Erin Palmer, Chris Bennett: How to Fire Up a Lock-and-Shop Program Without Getting Burned
One idea that could help lenders stand out in this market is a rate-lock program to give qualified borrowers more time to shop for their home. And, by design, incentivize them not to also shop elsewhere for a different rate and so that they will close with the original lender.
People in the News Feb. 2, 2023: MBA Renames Lowrie-Woodward Distinguished Service Award
The Mortgage Bankers last week renamed its highest award to honor Regina Lowrie, CMB, the first female MBA Chair, who passed away last month.
Call for Speakers: MBA Secondary & Capital Markets Conference & Expo; Deadline Feb. 2
Speaking opportunities for breakout sessions are now being accepted for MBA’s Secondary & Capital Markets Conference & Expo 2023, taking place May 21–24 at the Marriott Marquis in Times Square.
Quote: Feb. 1, 2023
“Overall application activity declined last week despite lower rates, which is an indication of the still volatile time of the year for housing activity. Purchase activity is expected to pick up as the spring homebuying season gets underway, bolstered by lower rates and moderating home-price growth. Both trends will help some buyers regain purchasing power.”
–MBA Vice President and Deputy Chief Economist Joel Kan.
MBA Weekly Survey Feb. 1, 2023: Applications Drop Despite 4th Week of Falling Rates
Mortgage applications fell from one week earlier despite another drop in interest rates, the Mortgage Bankers Association reported Wednesday in its Weekly Mortgage Applications Survey for the week ending January 27.
Inflation Spurs Consumers to Credit Cards, Home Equity
TransUnion, Chicago, said amid rising interest rates and high inflation, the fourth quarter saw consumers continuing to look to credit as a means to help stave off financial pressures.