Purchase Mortgage Activity Rises Despite Interest Rates

Overall volumes of mortgage loan rate locks appear, as yet, largely unaffected by the recent increases in mortgage interest rates, but have definitely changed their composition. Black Knight says, in its current Originations Market Monitor , that total rate lock activity rose 19 percent from February to March, driven by 31 percent growth in those for purchasing. That brought the growth in those locks to 70 percent over the past three months. In the meantime, refinancing locks dropped 13.8 percent in March. “Mortgage interest rates spiked in March, with 30-year offerings climbing 70 basis points over the course of the month,” said Scott Happ, president, Optimal Blue, a division of Black Knight. “In fact, our Optimal Blue Mortgage Market Indices daily interest rate tracker (OBMMI) showed the average 30-year conforming rate reach as high as 4.93 percent late in the month before pulling back slightly to close out March at 4.79 percent. And yet, despite seeing the fastest one-month rise in rates in nearly 13 years, we saw purchase lock volumes increase by 31 percent from February – likely as prospective buyers moved to lock in their loans before rates climbed any higher.” While total refinancing fell, cash-out refinances, which are somewhat insulated by continued home value appreciation, increased by a modest 1.6, slightly offsetting the now six-month long slide in rate/term refis. They were down another 15.4 percent in March. for an 81percent year-over-year decline. The share of refinances in the pipeline was 28 percent, the lowest since November 2018.

April 11, 2022 Download our Mobile App: Download our Mobile App: Housing News Purchase Mortgage Activity Rises Despite Interest Rates Overall volumes of mortgage loan rate locks appear, as yet, largely unaffected by the recent increases in mortgage interest rates, but have definitely changed their composition. Black Knight says, in its current Originations Market Monitor , that to... (read more) Mortgage Rate Watch 30yr Mortgage Rates Jump to 5.25%, Highest Since 2009 The last few days of March offered some hope that 2022's massive rate spike might be slowing down. The first few days of April crushed those hopes and things have only gotten worse as the new week begins. After breaking above 5% by the end of... (read more) MBS Commentary MBS Live Recap: Running Out of Ways to Say "Higher Rates" Running Out of Ways to Say "Higher Rates" Market watchers are at risk of major desensitization when it comes to "rates continuing higher." For essentially all of 2022 apart from the onset of the Ukraine... (read more) Mortgage Rates 30yr Mortgage Rates Jump to 5.25%, Highest Since 2009 30 Yr. Fixed Rate 5.25% +0.19% Rate Change Points Mortgage News Daily 30 Yr. Fixed 5.25% +0.19 0.40 15 Yr. Fixed 4.42% +0.13 0.40 30 Yr. FHA 4.82% +0.14 0.00 30 Yr. Jumbo 4.40% +0.05 0.00 5/1 ARM 4.08% +0.03 0.50 Updates Daily - Last Update: 4/11 15 Yr. Fixed Rate 4.42% +0.13% Rate Change Points Freddie Mac 30 Yr. Fixed 4.72% +0.05 0.80 15 Yr. Fixed 3.91% +0.08 0.80 5/1 Yr. ARM 3.56% +0.06 0.30 Updates Weekly - Last Update: 4/7 Rate Change Points Mortgage Bankers Assoc. 30 Yr. Fixed 4.80% +0.30 0.56 15 Yr. Fixed 4.01% +0.25 0.55 30 Yr. Jumbo 4.40% +0.29 0.44 Updates Weekly - Last Update: 3/30 MBS / Treasuries MBS Live Recap: Running Out of Ways to Say "Higher Rates" UMBS 30YR 4.0 100.31 -0.36 Price / Yield Change MBS UMBS 4.0 100.31 -0.36 UMBS 4.5 102.09 -0.23 GNMA 4.0 100.75 -0.48 GNMA 4.5 102.11 -0.47 Pricing as of: 4/11 5:21PM EST 10 Year US Treasury 2.7801 +0.0763 Price / Yield Change US Treasury 2 YR Treasury 2.504 -0.012 5 YR Treasury 2.792 +0.036 7 YR Treasury 2.835 +0.058 10 YR Treasury 2.780 +0.076 30 YR Treasury 2.810 +0.089 Pricing as of: 4/11 5:21PM EST Latest Video 30-year mortgage hits 5.25% The Fed is scrambling to catch up with the markets, says Mohamed El-Erian The 2pm Bond Report - April 11, 2022 The 9am Bond Report - April 11, 2022 Around the Web CNBC White House says it expects inflation to be 'extraordinarily elevated' in new report Reuters Fed to raise rates aggressively in coming months, say economists - Reuters News CNBC Consumer fears over inflation hit a record high in March, New York Fed survey shows Calculated Risk Blog Housing Inventory April 11th Update: Inventory up 2.3% Week-over-week; Up 8.3% from Seasonal Bottom Black Knight Black Knights March 2022 Originations Market Monitor Calculated Risk Blog Six High Frequency Indicators for the Economy CNBC 10-year Treasury yield tops 2.76% to start the week CNBC Here's how the Fed raising interest rates can help get inflation lower, and why it could fail Calculated Risk Blog Apartment Vacancy Rate Declined in Q1 Eye on Housing Highest Paid Occupations in Construction in 2021 Reuters China stocks slump most in a month as COVID curbs, inflation woes weigh Calculated Risk Blog "Unpacking builders market sentiment with Rick Palacios" Wall Street Journal New York Fed: Public Expectations for March 2023 Inflation Hit 6.6% Record

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