market conditions: Today's Market Commentary
- 05/20/09 01:28 AM
Yesterday, mortgages tightened slightly as continued demand from the Fed and steady purchases from money managers in higher coupons was enough to counter the supply brought to market from originators. Mortgages tightened (outperformed) versus swaps by 1-2/32nds by 3:00pm. Originator selling for the day was ~$3.5bln, which is just over the $3.2bln daily average seen this month. At 5:00pm, the FNCL 4.0 was +2.5/32 at 99-29+ and the FNCI 4.0 was +4.0/32 at 101-12+. The economic releases yesterday included the housing starts data for April. The report showed that new housing starts fell by 13% since March, which is down to an … (1 comments)
market conditions: Tripping over Dollars to Pick Up Pennies
- 01/30/09 01:09 AM
Thirty year mortgage rates have been moving higher over the past week and are currently at 5.5%. Many of you know that over the past month rates moved as low as 5% for 30 year fixed mortgage loans. After a few days of pricing pressure, Mortgage Bonds are trading near "oversold" conditions, which could make prices ripe for a reversal higher. If you couple that with the strong underlying support, it gives reason to be optimistic that the rates will mover lower in the next week. I'm watching very carefully and will be advising my clients to lock if the rates … (11 comments)
market conditions: Today's Market News....for mortgage lenders!!!!
- 12/18/08 01:00 AM
Mortgage prices shot out of a canon yesterday morning as prices surged to all time highs. This was so cool....but no sooner did it take off than it gave it all back and then some. However, a heavy dose of origination sent prices downward as buyers quickly became sellers. Liquidity in the lower coupons was horrible as pricing became extremely choppy. We lenders had a rough morning as prices were moving faster than rate sheets could be set. According to Fannie.....To make matters worse, the screens we use to price were grossly inaccurate at times. It was definitely a volatile time in my office. And I was had a … (2 comments)
Just today I had a great agent at Keller-Williams call me with a perplexing question. We've been working with a client for about one month having her buy an REO. That fell through. She is now back in the market. Here's the question this realtor posed to me. "Suzi Q (our client) wants to know with the fallout of the financial markets, should … (7 comments)
market conditions: Mortgage Applications UP!!!!!!
- 09/03/08 01:48 AM
They say "the trend is our friend." If that's the case, then the news from the Mortgage Bankers Association should be welcome news. The question is....does 1 week make a trend? We don't have 1 week, we have 2. Weekly mortgage applications in the United States increased in the week ending Sept. 3, according to data released from the Mortgage Bankers Association (MBA) TODAY!!!!, which reported a 7.5% week-over-week rise in applications. In the previous week, applications also rose by 0.5%. The average loan size was $215.6k, compared to previous week's $216.9k. The average interest rate for a 30-year fixed-rate mortgage … (7 comments)
market conditions: The Trend is our Friend??? Does 1 month make a trend?
- 08/07/08 08:38 AM
Pending home sales rebounded by 5.3% in June, according to the National Association of Realtors (NAR), against expectations that the index would fall by 1.0%. The bounce is better than the most optimistic forecasts and follows a downwardly revised 4.9% drop in the prior month. This is the second unexpected bounce in the past three months. April's index rebounded 7.1% after the seven-year index hit an all-time low in March. What does this mean? Not really much unless the trend continues. However, during the times of real estate lull and incapication, its definitely a welcome stat that hopefully, yes....hopefully will segue … (7 comments)
market conditions: Reviewing Yesterday's Bernanke's Comments
- 06/10/08 03:00 AM
BOTTOM LINE: Speaking last night, Bernanke noted that the economy is still fragile with downside risks to inflation and upside ones to growth. He notes risks to the upside on inflation from the continued increases in the price of oil. Greatest concern, and strongest language, devoted to the possibility of inflation expectations becoming unanchored. Passthrough into other prices has remained limited. On the other side of the balance, he notes that Fed action has reduced risks of a "substantial downturn" though downside growth risks certainly remain. KEY POINTS: 1. At a Boston Fed conference on inflation -- more specifically the Phillips … (1 comments)
market conditions: Look What is happening in the capital markets....markets are collapsing
- 08/06/07 01:17 PM
Pretty Rough stuff sports fans....take a look at what's happening in our mortgage capital markets....ewww!!!! Rates dropped on Friday after the unemployment data came and the stock market worsened. A-paper FNMA/FHLMC loan prices improved nicely - one industry expert said that "agency product is the only thing with any liquidity" - and dozens of originators closed their lock desks or did not fund loans. What happened with large investors on Thursday, Friday, and Today? RFC changed their Jumbo A, Expanded Criteria, and Payment Option pricing adjustments. WAMU ceased doing any low-doc transactions whatsoever with FICO's less than 680 and LTV's greater … (16 comments)
1 “Let not your heart be troubled; you believe in God, believe also in Me. 2 In My Father’s house are many mansions; if it were not so, I would have told you. I go to prepare a place for you. 3 And if I go and prepare a place for you, I will come again and receive you to Myself; that where I am, there you may be also. 4 And where I go you know, and the way you know.” (John 14:1-4, New King James Version)
Yesterday, mortgages tightened slightly as continued demand from the Fed and steady purchases from money managers in higher coupons was enough to counter the supply brought to market from originators. Mortgages tightened (outperformed) versus swaps by 1-2/32nds by 3:00pm. Originator selling for the day was ~$3.5bln, which is just over the $3.2bln daily average seen this month. At 5:00pm, the FNCL 4.0 was +2.5/32 at 99-29+ and the FNCI 4.0 was +4.0/32 at 101-12+. 
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