Access to credit isn’t fixed. Depending on current lending standards and loan programs, it can be easier to get a loan at some times than it is at others. That’s why the Mortgage Bankers Association keeps a monthly measure of mortgage credit availability. Any decrease to its Mortgage Credit Availability Index indicates lending standards have tightened and it has become more difficult for borrowers to obtain a loan. If the index increases, it means credit has become more available. In November, the index fell 3.3 … [Read more...]

Home buyers have a lot of numbers to remember. Among them, the 30-year fixed mortgage rate may be the most important. After all, mortgage rates determine how much your monthly payment will be and, ultimately, how much house you can afford. But how are mortgage rates determined and why don’t they fall when the Fed cuts rates? Well, it's complicated. The short answer, though, is that the federal funds rate is an interest rate on short-term lending, while a mortgage is a much longer-duration loan. So when the Fed cuts … [Read more...]

When the pandemic first hit in March 2020, there weren’t many people thinking it would inspire prospective home buyers, but it did. With mortgage rates at historic lows and Americans able to move more freely due to remote work, buyer demand spiked. Now, just under five years later, those same pandemic-era home buyers may already be looking to sell. In fact, according to a new survey, 17.5 percent of current homeowners say they plan to sell their home next year and, among them, 32.2 percent have lived in their home … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell last week from the week before. Rates were down across most loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 5/1 ARMs. Rates for 15-year fixed-rate loans were unchanged week-over-week. With rates down for the third straight week, mortgage application demand moved 5.4 percent higher. The improvement was mostly due … [Read more...]

While the number of homes for sale remains an issue in many markets, there have certainly been improvements. Inventory has risen significantly over the past couple of years and buyers are finding more listings than they did back in 2021. Still, there remains a lack of homes for sale in affordable price ranges. One theory as to why they continue to be so hard to find is the fact that older Americans are staying in their homes longer than they did in the past. But, one day, those homeowners will decide to downsize or … [Read more...]

Each month, Fannie Mae surveys Americans and asks them for their opinion on whether it’s a good time to buy or sell a home, mortgage rates, home prices, their job and financial situation. The resulting Home Purchase Sentiment Index is a good gauge of how Americans are feeling about market conditions and the overall economy. According to the most recent release, survey respondents are feeling more confident and it’s mostly due to a sense that mortgage rates are going to fall. In fact, a record share of respondents … [Read more...]

Affordability is always a top concern for home buyers and, according to a new survey from Fannie Mae’s Economic and Strategic Research Group, that isn’t likely to change any time soon. The group surveyed housing and mortgage industry experts and found that they expect affordability conditions to continue to weigh on buyers in the new year. The good news, though, is respondents also said they believe home price increases will slow in 2025. Mark Palim, Fannie Mae’s senior vice president and chief economist, agrees. … [Read more...]

The end of the year is prediction season. Experts and insiders in every industry release future forecasts offering their take on what will happen over the next 12 months. The housing market is no exception. The National Association of Realtors’ consumer website, for example, recently released an outlook for 2025 and it looks to be good news for home buyers. The forecast says the housing market will find better balance in the year ahead, with the number of homes for sale reaching its highest level since 2019. More … [Read more...]

According to the Mortgage Bankers Association’s Weekly Application Survey, average mortgage rates moved lower last week from the week before. Rates were down across all loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, 15-year fixed-rate loans, and 5/1 ARMs. Joel Kan, MBA’s vice president and deputy chief economist, says rates have fallen and it’s motivating buyers. “Mortgage rates fell to their lowest level in over a … [Read more...]

Moving to a new home is exciting. Sure, there will be headaches and stress along the way, but starting off fresh in a new place – whether it’s five miles away or 500 miles away – is rejuvenating. That’s undeniable. But it’s also true that some of us are more ready to make a move than others. In fact, according to a recent analysis of last year’s Census data, one state in particular had more movers than any other. So which was it? Well, the data shows 3.3 million Texans moved within Texas last year – which is both … [Read more...]