MBA Newslinks Archive

“Purchase applications have now increased year-over-year for four weeks, which signals healthy demand entering the busy spring buying season. However, the pick-up in the average loan size continues, with the average balance reaching another record high. With more inventory in their price range compared to first-time buyers, move-up and higher-end buyers continue to have strong success finding a home.”–Joel Kan, MBA Associate Vice President of Economic and Industry Forecasting.

“The Consumer Financial Protection Bureau has shown an admirable willingness to listen to stakeholder concerns about how it can improve both its own practices and the regulations it is tasked with enforcing. The recommendations laid out in this Roadmap will further strengthen CFPB’s policies and ensure that all consumers are treated fairly and equally and have access to the quality sustainable products they deserve.”–MBA President and CEO Bob Broeksmit, CMB.

“The data on new housing starts has been particularly volatile over the past few months, driven by large swings in multifamily starts. Focusing on the single-family data, the 4.5 percent year-over-year gain is a promising sign for the housing market. Given the underlying strength in overall housing demand, slow and steady growth in new supply will support a modest increase in sales.”–Mortgage Bankers Association Chief Economist Mike Fratantoni.

“While we continue to see Millennials enter the housing market and exercise their purchase power, the uptick in refinances may indicate maturity among this generation who previously purchased a home and are looking for an opportunity to take advantage of lower monthly interest payments.” –Joe Tyrrell, executive vice president of strategy and technology with Ellie Mae, Pleasanton, Calif.

“It’s hard to imagine commercial and multifamily mortgages performing much better. Future performance will be largely driven by changes in the economy and how they affect property incomes, property values and the ability of owners to refinance when their loans come due. Currently, all of those factors are favorable.”–MBA Vice President of Commercial/Multifamily Research and Economics Jamie Woodwell.

“The average loan size for purchase applications increased to a record high, led by a rise in the average size of conventional loans. This suggests that move-up and higher-end buyers have so far become a greater share of the spring market. Overall, conventional purchase loans are up 2.1 percent relative to last year, indicating that homebuyers continue to be inspired by the stable rate environment and the modest increase in housing supply.”–MBA Chief Economist Mike Fratantoni.

“The first-time homebuyer market once again outperformed the broader housing market, recording its best purchase year since 2006 and regaining its pre-housing crisis level. At the same time, first-time homebuyers are not immune to declining affordability, as their number declined nationally and in 35 states in Q4. First-time homebuyers responded to declining affordability by taking a wait-and-see approach and opportunistically looking for lower-priced properties.”–Genworth Chief Economist Tian Liu.

“A well-functioning housing finance system should provide consistent, affordable credit to borrowers across the nation and through all parts of the credit cycle without putting taxpayers at risk of a bailout.”–from an MBA-led coalition in a letter to acting Federal Housing Finance Agency Director Joseph Otting on the need for comprehensive secondary mortgage market reform.

“Disaster preparation and response has to be part of your company’s strategic planning. But the bigger picture is there needs to be more coordination across the industry and other players. We have to collaborate and share the knowledge in the event of an emergency.”–Gwen Muse-Evans, President and CEO of GME Enterprises, Chevy Chase, Md.

“For me and other CEOs focused on strategies for success in an evolving industry, we are open to change and persistently looking for ways to make your job easier and our customers happier.”–MBA Vice Chair Susan Stewart.