Low Mortgage Rates Fuel Rise in Applications

Mortgage and Lending with LoanOfficerSchool.com NMLS 291249


October 4, 2012, 6:45 AM PST

Click for Lock Advice Updated Several Times Daily


7 day Mortgage Interest Rate lock or Float Advice: FLOAT
Mortgage Points based on 3.0% Mortgage Backed Securities are up 0.07 point

30 Day Mortgage Interest Rate Lock or Float Advice: FLOAT.



National Average Fixed Rate Mortgage 3.40%
MBS (3.5%) - 105.67, High: 105.81, Low: 105.67
DJI Stocks closed at $13,546.79,  Up $52.18, Change 0.385%
Asian & European Stock Market Indexes Up 0.302%
Nymex Crude Oil Currently $88.97 Up $0.83
Gold 1 Once - 1785.85




Low Mortgage Rates Fuel Rise in Applications By: Tory Barringer 
Mortgage application volume increased 16.6 percent in the week ending September 28, according to MBA's Mortgage Composite Index. On an unadjusted basis, the index increased 17 percent compared with the previous week. MBA also reported an increase in its Purchase Index, which rose 4 percent (both adjusted and unadjusted) from one week earlier and 11 percent year-over-year >> MReport
'Fiscal Cliff' Could Send Prices Tumbling By: Carrie Bay  
Recent gains in housing are closely linked to rising consumer confidence, according to numbers juxtaposed and analyzed by Clear Capital in its latest report on home price movements. The feeble underpinnings of price increases, however, could soon topple, according to the real estate valuation company >>MReport


Fed Study Points to Wisdom of Further HARP Enhancements By Jan Swanson
Economists have been debating the value versus risk of expanded refinancing opportunities since the early days of the housing crisis. Proponents argue that refinancing would free up homeowner money for spending elsewhere to the benefit of the economy, opponents fear that since the Federal Housing Administration and the government sponsored enterprises (GSEs) are realistically the only source of refinancing currently available, any risk inherent in refinancing will disproportionately fall the government. >>Mortgage News Daily


Housing Alert: Short Sales May Be in Big Trouble By: Diana Olick
     As lenders plow through a backlog of over five million delinquent mortgages, short sales are becoming an ever more popular escape route. A short sale is when the bank allows a home to be sold for less than the value of the mortgage. The bank takes the loss, but that loss is generally less than a more costly foreclosure.
     The government has been pushing more short sales at Fannie Mae and Freddie Mac through financial incentives, and banks are streamlining the process. Short sales have been gaining so much steam, they actually surpassed sales of foreclosed properties last spring, according to LPS Applied Analytics' Home Price Index. But all the progress that has been made could end abruptly. >>CNBC


Mortgage Rates Move Higher For The First Time In Two Weeks
by Matthew Graham 
Mortgage rates finally broke their unprecedented winning streak on Thursday as rates moved higher for the first time since the Fed announced it's third round of quantitative easing on September 14th.  The 10 straight sessions of improving rates crossed into new all-time low territory earlier this week, and even after today's weakness, it's still the 3rd best day in the history of mortgage rates.  Best execution levels continue hovering firmly at 3.25% for 30yr Fixed Conventional Loans >>Mortgage News Daily


First-Time Home Buyers: 31 Percent of Residential Buyers
by Scholastica (Gay) Cororaton, Approximately 31 percent of REALTORS® who responded to the latest REALTORS® Confidence Index survey reported making a sale to first-time home buyers. Normally first-time buyers are in the neighborhood of 40 percent of total residential sales, according to NAR's Profile of Home Buyers and Sellers. The proportion of first-time home buyers hit a peak of approximately 50 percent in 2009. Most first-time buyers obtain a mortgage: About 8.7 percent of REALTORS® who made a first-time home buyer sale reported a cash sale (compared to 10.8 percent in July). National Association of Realors


Already At All-Time Lows, Mortgage Rates Continue Lower At Unprecedented
Mortgage rates begin the week at new all-time lows yet again after falling significantly from last week's series of previous all-time lows.  Markets have been quite calm during domestic hours, but interest rates moved slightly lower overnight before domestic trading hours.  With bond markets holding steady to slightly improved since then, mortgage lenders continue to pass on those improvements in the form of more aggressive rate sheets. >>Mortgage News Daily


The time to close loans increased in August
The time it took to close a loan was 49 days in August, up just one day from July's closing time.
Refinance closings took a little longer than purchase closings in August, same as July. It took 51 days to close a refinance loan in August, up fom 48 days in July.>> MReport


Exclusive: U.S. mortgage task force to act soon
By Karen Freifeld
NEW YORK (Reuters) - The mortgage task force formed by President Barack Obama to probe misconduct that contributed to the financial crisis will soon take legal action, New York Attorney General Eric Schneiderman said on Thursday. >>Reuters


Existing home sales increase 9.3% in August By Justin T. Hilley
Existing home sales rose 9.3% to a seasonally adjusted annual rate of 4.82 million in August from the 4.41 million seen a year earlier, according to the National Association of Realtors. The figure is 7.8% above July's 4.47 million.>> HousingWire


Mortgage Applications Steady as Average Rates Reach Historic Lows by Jann Swanson
Applications for mortgages during the week ended September 14 were virtually unchanged from the previous week according to the Mortgage Bankers Association's (MBA) Weekly Mortgage Applications Survey.  The Market Composite Index, a measure of loan application volume, increased 0.2 percent on a seasonally adjusted basis during the week which was shortened by the Labor Day holiday.  On an unadjusted basis it rose 24 percent. >>Mortgage News Daily

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Mortgage / Finance
California San Diego County Escondido
Keller Williams 'Rainers
RE/MAX Active Rain Bloggers
Everything California
Century 21 Active Rainers
Addicted to Active Rain
rate lock advisory
low mortgage rates fuel rise in applications

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Elite Home Sales Team
Elite Home Sales Team OC - Corona del Mar, CA
A Tenacious and Skilled Real Estate Team

Thank you for the info.  It is helpful understanding what is going on.

Oct 04, 2012 12:23 AM #1
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?


Bill Ladewig

Experience Is Your Advantage
Need Fast Answers?
Spam prevention

Additional Information