Credit availability isn’t typically among home buyers’ top concerns – but it matters. Lending standards and the availability of loan programs affect how easy or difficult it is to get approved for a loan. When credit is tight, for example, prospective borrowers will need to have their finances in order more so than they would if it were looser. That’s why the Mortgage Bankers Association keeps a monthly measure of how tight or loose credit is with their Mortgage Credit Availability Index. Any increase in the index … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell for the sixth consecutive week last week, bringing rates to the lowest level since February 2023. Rates fell 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 there are a number of factors behind the recent … [Read more...]

Traditionally, spring and summer are the housing market’s busiest seasons. Home shoppers tend to arrive as the weather begins to warm and then, as summer fades, the market tends to slow. But that doesn’t mean potential buyers should put their plans on hold until next spring. In fact, fall can be among the best times to buy and, according to a new analysis from the National Association of Realtors’ consumer website, early October, in particular, could be this year’s best time for buyers. Why? Well, for one, mortgage … [Read more...]

Fannie Mae’s monthly Home Purchase Sentiment Index is based on a survey of Americans that asks participants whether they think it’s a good time to buy or sell a home, whether they think home prices and mortgage rates will rise or fall over the next year, and how secure they feel in their job and income. In August, the index saw a 0.6 percent increase from the month before, mostly due to rising optimism about mortgage rates and home prices. Mark Palim, Fannie Mae’s vice president and deputy chief economist, says … [Read more...]

Americans have had good reason to be hesitant about the housing market over the past couple of years. Between skyrocketing prices during the pandemic and rising mortgage rates in the immediate aftermath, affordability became a top concern and a reason for potential home buyers to hit pause on their plans. These days, though, optimism is rising. In fact, according to one new survey, a large majority of Americans believe mortgage rates will fall in the months ahead and many of them have targeted a number that would … [Read more...]

The housing market has had an inventory problem for years now. Too few homes for sale has driven prices higher, increased competition and bidding wars, and limited options for buyers. Fortunately, though, the market has finally begun to bounce back. In fact, according to new numbers from the National Association of Realtors’ consumer website, inventory has now risen for 10 straight months and was up 35.8 percent in August, pushing the number of homes for sale to its highest level since May 2020. Danielle Hale, the … [Read more...]

According to the Mortgage Bankers Association’s Weekly Application Survey, average mortgage rates fell again last week, with rates for 30-year fixed-rate loans with both conforming and jumbo balances and loans backed by the Federal Housing Administration down from the week before. Rates for 15-year fixed-rate loans increased week-over-week and 5/1 ARMs were unchanged. Joel Kan, MBA’s vice president and deputy chief economist, says mortgage demand has picked up as rates have become more favorable. “Purchase … [Read more...]

Prospective home buyers who’ve been waiting for affordability conditions to improve may be in luck. According to the latest Purchase Applications Payment Index from the Mortgage Bankers Association, the typical mortgage payment applied for by borrowers in July was 1.3 percent lower than the previous month. In fact, the national median payment fell to $2,140 – with payments for lower-payment mortgages down to $1,444. Edward Seiler, MBA’s associate vice president, housing economics, and executive director, Research … [Read more...]

When mortgage rates began rising from all-time lows a few years back, the number of Americans looking for a loan started to fall. But, according to new numbers from ATTOM Data Solutions, there was a bit of a borrower boom during the second quarter of this year. In fact, residential lending activity increased 23.2 percent from the previous quarter. Rob Barber, ATTOM's CEO, says it was the biggest boost in years. “The mortgage industry got one of its biggest boosts in years during the second quarter, supported by a … [Read more...]

The National Association of Realtors’ Pending Home Sales Index tracks the number of contracts to buy homes signed each month. Because contract signings precede closings, the index is considered a good indicator of future existing-home sales. In July, pending sales slowed 5.5 percent from the month before, pushing the number of signed contracts 8.5 percent below last year at the same time. Lawrence Yun, NAR’s chief economist, says buyers may be in a holding pattern. “A sales recovery did not occur in midsummer,” Yun … [Read more...]