Mortgage Market Index

By
Mortgage and Lending with JB Mortgage Capital, Inc. NMLS# 247447

Mortgage rates are near all time lows and one would think applications would be skyrocketing. Well that's not the case according the Mortgage Bankers Association.

The Mortgage Market Index came in at 645.5. Last week the reading came in at 689.5 and the previous week it came in at 682.0. It is somewhat surprising to see applications decline as mortgage rates drop to near all time lows. The Purchase numbers actually increased. It was the refinance numbers that disappointed.

Mortgage Rates:

The biggest driver with the bond market and mortgage rates is the Coronavirus. Simply put, the market is scared; some would even say terrified. As result the market is has been super volatile. Volatility is generally bad for mortgage rates but the good news for homeowners is that mortgage rates remain stable despite market conditions.

A word of caution to those that continue to wait on locking a rate. There are numerous examples of how the market eventually reverses course after a sharp move down. And generally that reversal pushes mortgage rates higher than where they were before the sharp move down.

Even if the bond market continues to rally it's unlikely mortgage rates will significantly improve from these levels. Mortgage lenders have little interest in getting overwhelmed with applications. Consumers hate extended close times and so do mortgage lenders.

30 year fixed rates are below 3.50% and 15 year fixed rate are below 3.125%; that is truly amazing.

Online Mortgage Resources:

Here are some useful resources for consumers doing research online for mortgage information.

Mortgage News Daily:

This is one of the best sites you'll find for in depth mortgage news and information. Many mortgage professionals use this site as their number one resources.

MND provides complete coverage of the Mortgage Backed Securities market and the Treasury market. In addition to the that they provide tons of consumer mortgage rate information and daily updates on current economic reports.

Lender411:

A good site for basic consumer information about mortgages and buying homes. A great feature you'll find on Lender411 is consumers can ask experienced Loan Officer's questions about getting pre-qualified, mortgage underwriting guidelines and more. Questions previously asked include the following topics:

  • Can I still get a mortgage even though I have a bankruptcy?
  • What is the minimum down payment for a first time homebuyer?
  • How do I get pre-approved?

Don't be shy; if you have questions then definitely visit Lender411 and ask a mortgage professional!

Scoop.it!

Ok this might not be a mortgage specific website but Scoop.it! has lots of great mortgage information from many different knowledgable Mortgage Loan Orginators (MLO). 

While on the website you can search for topics like:

  • Mortgage rates
  • Refinancing
  • FHA home loans
  • Renovation home loans
  • Fixed rate mortgages

You definitely should take the time to explore Scoop.it! And it's a great resource for other topics too.

Active Rain:

Let's not forget Active Rain!

It's also one of the best resources for industry professionals and consumers. There are also thousands of experienced Realtors on Active Rain that are sharing the information they have to make your home buying process a better experience.

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