Homebuyers with good credit scores will soon encounter a costly surprise: a new federal rule forcing them to pay higher mortgage rates and fees to subsidize people with riskier credit ratings who are also in the market to buy houses.
It’s a double whammy for would-be homebuyers. Not only are interest rates soaring, it’s getting harder to qualify for a loan. The average rate on the popular 30-year fixed mortgage climbed over 7% at the end of last week, according to Mortgage News Daily, and is expected to hit around 7.125% on Tuesday. It’s been over 7% for several days.
The average interest rate on the most popular U.S. home loan climbed to its highest level since October 2008, Mortgage Bankers Association (MBA) data showed on Wednesday.
Newsfeed: U.S. mortgage interest rates reach 6.25%, highest level since October 2008 Read More »
U.S. mortgage rates are tumbling even after the Federal Reserve hiked its benchmark interest rate by 75 basis points last week.
The average interest rate on the most popular U.S. home loan climbed to its highest level since the 2008 financial crisis and purchase applications were down more than 15% from last year, Mortgage Bankers Association (MBA) data showed on Wednesday.
Newsfeed: U.S. mortgage interest rates jump to highest level since 2008 Read More »
Mortgage rates actually fell slightly last week, but the damage has already been done to housing affordability.
ARMs — which carry variable interest rates that reset based on the market at predetermined times — accounted for 10.8% of total home-loan applications …
Newsfeed: Adjustable Loans Form Largest Share of US Mortgages Since 2008 Read More »
Even as building slows, the Fed is pumping purchasing power into housing. Short supply plus increased purchasing power could put upward pressure on prices. Of course, it all hinges on demand … will buyers be willing to take on a mortgage in such an uncertain jobs market? After all, even a zero percent mortgage payment
Grim warnings from Powell and the Fed push rates on home loans to new low Read More »
When the 2008 financial crisis hit, the mortgage industry was at the epicenter … and the disruption of funding feeding real estate crushed housing values. But it’s important to remember, the problem was NOT real estate. After all, people still needed and wanted places to live. So the demand for housing remained stable. It was
Main Street needs Main Street investors … Read More »