Lowering minimum standards and using a 2018 proposal as a basis for change may be the quickest path, according to Donald Layton, Freddie Mac’s CEO from 2012 to 2019.

The latest rise in property tax collections at the end of last year continued a nine-quarter streak of increases, according to the National Association of Home Builders.

Employers who use Nayya’s agentic AI platform can provide Foyer, a dedicated 401(k) for homeownership, as a benefit that helps its employees buy a home.

In three separate appearances Thursday, Fed Gov. Lisa Cook, Gov. Michael Barr and Vice Chair Philip Jefferson said they are worried that U.S. involvement in the war with Iran could drive up inflation, leading them to conclude that interest rates should remain steady in the near term.

The real estate investment trust declared an all-cash offer of $10.80 per share from CrossCountry superior to the fixed stock exchange ratio bid from UWM.

Some Resilience After AM Weakness

10yr yields are set to end the week at the highest levels since last July, but those were even higher highs earlier this morning. From roughly 9am-1130am ET, bonds recovered all of the day’s losses in a move that was led by adjustments to Fed rate hike expectations.  Yes, we can/should call it that now because there are no longer any rate cut expectations based on futures trading. Instead, there’s indecision about holding steady vs a small chance of rate hikes. War headlines remain the dominant focus and weekends continue to offer a higher concentration of risk for financial markets.

Econ Data / Events

Consumer Sentiment (Mar)

53.3 vs 54 f’cast, 56.6 prev

Sentiment: 1y Inflation (Mar)

3.8% vs 3.4% f’cast, 3.4% prev

Sentiment: 5y Inflation (Mar)

3.2% vs 3.2% f’cast, 3.3% prev

Market Movement Recap

10:13 AM Additional weakness overnight. MBS down 6 ticks (.19) and 10yr up 3.2bps at 4.452

11:39 AM Bonds turning green.  MBS up 2 ticks (.06) and 10yr down almost 1bp at 4.412

03:48 PM Drifting back into weaker territory, very gradually. MBS down 1 tick (.03) and 10yr up 2bps at 4.44

Products, Services, and Software for Brokers and Lenders Four Methods to Hedge Non-QM & Maximize Profits: In today’s growing non-QM market, selling best efforts is leaving value on the table. Accumulating bulk and improving execution is possible, but it involves taking price risk on the non-QM loans, and this requires hedging. A new technical brief evaluates four primary methodologies used by capital markets professionals: forward sales, correlated hedges, hedging to expected CPRs (i.e., prepayment profile), and hedging to a stochastic model. While forward sales offer direct risk transfer, their utility is limited and it doesn’t offer discernable improvements in execution. Correlated hedges provide a data-driven alternative, but face challenges regarding loan data quality and maturity mismatches. As a result, many capital markets professionals are choosing to align hedges with expected prepayment profiles. The fourth method involves hedging to a stochastic model, a more precise but complex method of valuing and hedging expected future cash flows. The technical paper also highlights an emerging preference for SOFR swaps, by using liquid and easily accessible Eris SOFR Swap futures, instead of US Treasuries. As it is more efficient to forecast and hedge forward rate expectations using the SOFR swap market, it is becoming the benchmark of choice for efficient modeling and hedging. Whether you are managing a small pool or a massive portfolio, understanding these four methods is essential for maximizing your execution and profitability. Read the technical paper and contact John Douglas.

Mortgage application activity declined for the second consecutive week as rising interest rates continued to weigh on demand. The Mortgage Bankers Association (MBA) reported a decrease of 10.5% on a seasonally adjusted basis for the week ending March 20. Both major components moved lower. The Refinance Index fell 15% from the previous week, though it remained 52% higher than the same week one year ago.  Purchase activity also softened, with the seasonally adjusted Purchase Index declining 5% and running 5% above year-ago levels. According to MBA’s Joel Kan, persistently elevated Treasury yields—driven in part by higher oil prices and inflation concerns—pushed mortgage rates higher across the board. The average 30-year fixed rate climbed to its highest level since October 2025, further eroding refinance incentives and dampening purchase demand. The composition of activity shifted further away from refinances. The refinance share of total applications decreased to 49.6% from 52.3% the prior week, while ARM share increased slightly to 8.1% . FHA share rose to 19.7% , VA share declined to 15.9% , and USDA share edged up to 0.5% . Mortgage Rate Summary:
30yr Fixed: 6.43% (from 6.30%) | Points: 0.65 (from 0.63)
15yr Fixed: 5.83% (from 5.66%) | Points: 0.80 (from 0.73)
Jumbo 30yr: 6.45% (from 6.39%) | Points: 0.56 (from 0.34)
FHA: 6.15% (from 6.08%) | Points: 0.75 (from 0.70)
5/1 ARM: 5.75% (from 5.65%) | Points: 0.68 (from 0.67)

There were mixed blessings in the mortgage rate world today. The bad news is that today’s rates are just a bit higher than yesterday’s, resulting in another 8 month high. The good news is that things were looking quite a bit worse earlier in the morning. Mortgage lenders prefer to set rates once per day even though those rates are dictated by movement in the underlying bond market. If bonds move enough, lenders will change rates mid-day. Today was one of those days and, fortunately, the change was in a friendly direction.  Before the improvement, the average lender’s top tier 30yr fixed rate was roughly 6.7%, but afterward, only 6.64%.

Markets were presented with an opportunity just before the close yesterday to put their faith in another ceasefire-style announcement, but have instead opted to stick with prevailing momentum (lower stocks, higher yields and oil prices). Part of the reason is that rather than a true ceasefire, the announcement merely delayed a major escalation from this weekend by 10 days. In addition other escalations continue to add up based on overnight reports. Bonds (and stocks and oil) are now in a pattern of fading (a trading term akin to “calling the bluff of”) ostensibly hopeful de-escalation developments until they see something real and lasting.