MBA Newslinks Archive

“While a few investors have charged forward into the [Opportunity Zone] space, most have eagerly awaited the more complete guidance needed to invest before the close of 2019 in order to secure the maximum tax benefits from the program. This clarifying guidance should remove many of the barriers that have kept large pools of capital on the sidelines.”–JLL Senior Vice President Jonathan Paine.

“It has become clear that our lending partners are seeking clarity and greater certainty when documenting compliance with FHA requirements. We are proposing a new, more transparent set of requirements that will preserve our enforcement authority. We anticipate that this will encourage more lender participation in FHA business, thus increasing competition in the market and resulting in greater choices for borrowers.”–Acting Deputy Secretary and FHA Commissioner Brian Montgomery, announcing new lender certification requirements for FHA.

“Investors continued a trend from March of further increasing their willingness to purchase more non-QM and non-agency jumbo loans. The high-end of the purchase market had shown weakness earlier this year, before the recent decline in mortgage rates, and it appears investors are trying to remain competitive in that segment of the market.”–Joel Kan, MBA Associate Vice President of Economic and Industry Forecasting.

“We saw a good week for the spring home buying season, as a 5 percent increase in purchase applications–both weekly and year-over-year–drove the results.”–MBA Associate Vice President of Economic and Industry Forecasting Joel Kan.

“Retention battles are no longer won–or lost–based on interest rates alone. A simple ‘in the money analysis’ doesn’t provide the insight necessary to retain customers and can’t take the place of accurately identifying borrowers who are likely to refinance and offering them the correct product. Rather, understanding equity position–and the willingness to utilize that equity–is key to accurately identifying attrition risk and reaching out to retain that business.”–Black Knight Data & Analytics Division President Ben Graboske.

“Once again, job growth was stronger than expected in April, and even with a weaker showing in February, there have been almost 170,000 jobs per month added over the past three months. With hiring so strong, the unemployment rate has fallen to its lowest level since 1969, and wages continue to grow at a strong pace. With mortgage rates still low, more households may consider buying a home, which is great news for the housing market and overall economy,”–MBA Chief Economist Mike Fratantoni.

“Today’s proposed changes would provide much needed relief to smaller community banks and credit unions while still providing federal regulators and other stakeholders with the information we need under the Home Mortgage Disclosure Act.” –CFPB Director Kathleen L. Kraninger, on proposed rulemakings to change reporting requirements under the Home Mortgage Disclosure Act.

“As expected, the Federal Reserve left short-term rates unchanged at their May meeting, and continue to hint that they will remain patient, which would mean keeping rates at their current level at least through the end of the year. Additionally, the Fed provided more color regarding the pending change with respect to the balance sheet, where they will begin to buy U.S. Treasury securities again this fall, while allowing [mortgage-backed securities] to continue roll off.”–MBA Chief Economist Mike Fratantoni.

“The increase in pending home sales in March aligns with the rise in purchase applications we reported for the month. The strengthening job market, combined with lower mortgage rates and increased housing supply in many markets, helped more prospective buyers find a home last month. In short, conditions are ripe for further sales increases in the coming months.”–MBA Chief Economist Mike Fratantoni.

“Cooling house price gains, home sales activity, and remodeling permitting are lowering our expectations for home improvement and repair spending this year and next. Yet, more favorable mortgage rates could still give a boost to home sales and refinancing this spring and summer, which could help buoy remodeling activity.”–Chris Herbert, Managing Director of the Joint Center for Housing Studies of Harvard University.