Blog
Lenders using new criteria to determine credit risk in mortgage loans
A low credit score doesn’t necessarily result in an automatic turn down for a mortgage loan.Mortgage lenders are looking for borrowers who are good risks, even though they may have little or no credit history. Lenders are now looking at additional criteria, some that they may not have considered a few yea
Mortgage Rates Much Lower After Debt Deal
Mortgage rates fell significantly today, returning in line with the lowest levels seen in recent weeks for some lenders. Not every lender experienced the improvement in the same way, however, with some still not back to last week's best offerings. Whatever the case, the average top-tier Conforming 30y
Daily Rate Update: Mortgage Rates Hit 4-Month Lows
Mortgage rates fell only slightly today, but with yesterday already near 4-month lows, today's moderate improvement makes it official--at least in terms of closing cost. The actual interest rate that the best qualified buyers are likely to be quoted isn't any lower than the previous 4.25% (best-execut
What is eminent domain, and should I be worried?
One of the things that property owners must be concerned with is eminent domain, which is defined as “the right of a government or its agent to expropriate private property for public use, with payment of compensation.”City, county, state and federal governments can claim eminent domain for any numb
Bond Markets Rally After Weak Jobs Report
Today's Employment Situation Report--rescheduled from the original October 4th release data--has been easily up to the task of inspiring a break of the recently narrow trading ranges in MBS and Treasuries. MBS have been up between .5 and .75 (16-24 ticks) depending on when you look, and 10yr yields have hel
Mortgage Rates Continue to New 4-Month Lows
Mortgage rates fell again today, but at a gentler pace than yesterday, bringing them to new 4-month lows. With no meaningful economic data to influence rates, the positive momentum today was more of an epilogue to yesterday's main storyline. The Conforming 30yr Fixed rate (best-execution) itself, rema
Update from the Agencies and Informal Notes QM; Lender Updates
With recent changes in QM/ATR rules along with intolerance for any error which may impinge marketability or the ability to expeditiously foreclose, mortgage originators are facing a variety of increased risks. Sure, lenders can create unspecific GAAP reserves, but those unspecific reserves are not tax deduc
Fierce Determination to Stay Sideways
It's been another uneventful session so far with trading levels for MBS and Treasuries both holding inside yesterday's ranges. Treasuries were slightly stronger overnight but moved back to unchanged levels just before the domestic session opened. While the headline on the Durable Goods report was econ
MBA Outlines Support for Alternative QRM
The Mortgage Bankers Association responded on Thursday to the re-proposed Risk Retention rule submitted for comment by six regulatory agencies last summer. In a letter to the agencies from David H. Stevens, MBA's CEO and President, the association expressed strong support for what is called the Preferred Ap
QM and Non-QM Are Going to Get Along Just Fine
Savvy entrepreneurs or established organizations have little to fear from the new qualified mortgage (QM) and Ability-to-Repay (ATR) regulations about to come into effect a new white paper from CoreLogic says. They will find a way to deliver qualified and non-qualified mortgages in a way that meets all the regula
Mortgage Rates Continue Hovering Near 4 Percent
Mortgage rates held steady yet again, ending their second week of significant improvement and contributing to what may soon be the first 2-month stretch of improvement since the Spring of 2012. Some lenders' rate sheets were slightly weaker today while others improved. The net effect was an unchanged
Pending Homes Show First Annual Decline in Over 2 Years
Contracts for home purchases declined for the fourth consecutive month the National Association of Realtors® (NAR) said today. NAR's Pending Home Sales Index fell 5.6 percent to 101.6 in September compared to August and is 1.2 percent below its value of 102.8 in September 2012. This is the lowest