Some of my wholesale lenders are being aggressive and funding conforming loans on a higher conforming maximum loan limit of $625,000 for a one-unit property, which is $75,000 above the current FHFA limit of $548,000.The new limits generally are released for Freddie and Fannie loans by the Federal ... » Learn More about What the Higher Conforming Loan Limits Means For New Mortgages
Mortgage Rates
The Fed Preps Us For Rate Increases
After their September 22nd meeting, the Federal Reserve left the Fed Funds Rate at 0-.25%, and the quantity of Bond and Mortgage Securities purchases intact at $120B per month... But they signaled that they feel comfortable scaling back on their bond purchases by the end of the year. The bond and ... » Learn More about The Fed Preps Us For Rate Increases
Mortgage Rates Still Great… For Now
The Federal Reserve has been setting the stages for tapering their purchasing of mortgage backed securities using Quantitative Easing (QE). Their purchasing of gov’t notes and mortgages have kept interest rates at artificially lower levels to compensate for the economic effects of the pandemic ... » Learn More about Mortgage Rates Still Great… For Now
2 Positives For Refinances-Elimination of .5 pt Tax and Rates Drop
As I conveyed in a previous blog in June, the FHFA was being pushed by mortgage trade groups to eliminate an "Adverse Market Fee" on .5 point on conforming refinances. This was a hidden tax on the consumer that increased the cost of a refinance $2500 in additional costs to a $500,000 loan, or around ... » Learn More about 2 Positives For Refinances-Elimination of .5 pt Tax and Rates Drop
Federal Reserve Acknowledges Inflation and Rates to Go Up Sooner Than Originally Planned
The recent Federal Reserve statements convey that the high inflation being realized presently may more lasting, and not be as transitory as originally predicted. Now they’re expecting to raise rates sooner than previously perceived. There’s a lot of Fed banter now about starting with the scaling ... » Learn More about Federal Reserve Acknowledges Inflation and Rates to Go Up Sooner Than Originally Planned