Daily Newsletter: Tuesday April 14, 2020

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April 14, 2020

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Compare Mortgage Rates from Local Lenders for Apr 14, 2020

1 Step Forward and 2 Back For Mortgage Rates

Mon, Apr 13, 2020 5:06PM

Mortgage rates have been volatile and unpredictable to say the least. Some of this has to do with overall market volatility surrounding the market's reaction to new realities presented by coronavirus. On a tangential note, the pandemic created a separate, bigger issue for the mortgage market with the CARES Act (which invites those in need to skip up to 360 days of mortgage payments even if they can't document that need). Mortgage investors are guaranteed timely repayment by mortgage servicers and housing agencies, but the volume of forbearances could mean there's not enough cash for the normal... (read more)

Mortgage News Daily	Rate	Change	Points
30 Yr. Fixed	6.34%	+0.06	0.00
15 Yr. Fixed	5.82%	+0.01	0.00
30 Yr. FHA	6.06%	+0.05	0.00
30 Yr. Jumbo	6.32%	+0.02	0.00
7/6 SOFR ARM	5.98%	+0.09	0.00
30 Yr. VA	6.08%	+0.05	0.00
Updates Daily - Last Update: 11/3

Freddie Mac	Rate	Change	Points
30 Yr. Fixed	6.17%	-0.02	0.00
15 Yr. Fixed	5.41%	-0.03	0.00
Updates Weekly - Last Update: 10/30

Mortgage Bankers Assoc.
30 Yr. Fixed	6.30%	-0.07	0.58
15 Yr. Fixed	5.67%	-0.07	0.61
30 Yr. Jumbo	6.38%	-0.01	0.34
Updates Weekly - Last Update: 10/29

MBS Live Day Ahead: MBS May Have Gotten Too Strong For Their Own Good

Tue, Apr 14, 2020 11:09AM

There's a bit of 20/20 hindsight in the observation that MBS strength could/should only last for so long before experiencing a bit of a correction. I'm not talking about outright price levels per se. Rather, MBS 'performance' is measured ... (read more)

MBS	Price	Change
UMBS 4.5	97.40	-0.16
UMBS 5.0	99.47	-0.09
UMBS 5.5	101.02	-0.04
GNMA 4.5	97.43	-0.22
GNMA 5.0	99.66	-0.07
GNMA 5.5	100.85	+0.03
Pricing as of: 11/3 3:01PM EST

US Treasury	Yield	Change
2 YR Treasury	3.605	+0.031
5 YR Treasury	3.719	+0.036
7 YR Treasury	3.903	+0.030
10 YR Treasury	4.109	+0.034
30 YR Treasury	4.689	+0.036
Pricing as of: 11/3 3:01PM EST

Other News

Freddie Cautiously Optimistic as Housing Market Shows Resilience

Tue, Apr 14, 2020 10:48AM

Freddie Mac's Quarterly Forecast is more upbeat than one might expect . While it acknowledges that, with big chunks of the U.S. economy currently in lockdown the housing market faces "its greatest challenge in over a decade," it seems to assume its duration could perhaps be limited, with the recovery starting in the third quarter of the year. It does hedge t... (read more)

Nearly 2 Million Forbearances Already

Mon, Apr 13, 2020 5:38PM

The Mortgage Bankers Association (MBA) says the surge in unemployment claims filed since mid-March resulting from the mitigation efforts to slow the spread of COVID-19 are straining household budgets. Mortgage servicers are continuing to field hundreds of calls from these homeowners who are seeking temporary forbearance from their mortgage payments. MBA says... (read more)

Black Knight's Deep Dive Part 3: How Housing and Mortgages Move On

Mon, Apr 13, 2020 11:49AM

In this third article summarizing an analysis by Black Knight of the potential impacts of the COVID-19 pandemic housing the company looks at mortgage defaults and servicing. It also reviews some of the actions that have already been taken to curb potential harm to housing and makes suggestions about ways technology can be of help. Part 1 of this series can b... (read more)

Doc Products; Jumbo and Specialty Products Continue to Crumble; 3.74% Loans in Forbearance

Tue, Apr 14, 2020 10:13AM

Bill M. sent, “It's not at all boring to stay in the house. But how come one bag of rice has 22,373 grains and the other bag 24,201?” Yes, things have changed. A pal wrote to me yesterday saying, “My sex life is like a Ferrari.” I reminded him that he doesn’t have a Ferrari. He replied, “Exactly.” We know that this i... (read more)

Latest Video

Mortgage rates go on roller coaster ride as more borrowers ask for forbeara...

Governors lay out coordinated effort to re-open US states

We're getting close to hitting cap on PPP loans: Sen. Rubio

Around two million borrowers have applied for forbearance programs

Around the Web

Reuters

Fed officials see risks in reopening economy too soon, but acknowledge need to move

CNBC

Here's why mortgage rates are all over the place and how to find a good one

Redfin

Stimulus Checks and Housing: How Far $1,200 Goes for Homeowners and Renters Across the US

Reuters

Pelosi calls on Fed to help universities

NY Fed

New York Fed purchases $16.000 billion in Treasury coupons

Reuters

U.S. import prices post largest drop in over five years

NAHB Eye on Housing

Single-Family Permits Were Strong in February

Calculated Risk Blog

Small Business Optimism Decreased Sharply in March

Reuters

Ten U.S. states developing 'reopening' plans account for 38% of U.S. economy

Bloomberg

Mnuchin Offers Reassurances on Stability of Mortgage Market

CNBC

Hotels and retailers not paying rent due to the coronavirus pandemic spikes in April, Trepp says

CNBC

Borrower requests for government's coronavirus mortgage bailout jump 78% in one week

NAR - Realtor.com

The Mortgage Industry Is Facing a Crisis Because of the Coronavirusand Borrowers Could Fall Through the Cracks

Interest rates displayed are national averages and for informational purposes only. Actual rates from lenders may vary based on several factors including, but not limited to, credit worthiness, ability to replay, credit score, down payment, loan term, etc.

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