Higher costs than expected, not just for the mortgage but for repairs and more, have recent buyers’ regretting their purchase, Clever RE and Redfin found in separate reports.

New guidelines regarding buy-side and sell-side real estate agent compensation are set to go into effect this summer.

Affordability challenges also have some aspiring homeowners taking second jobs or looking to draw from retirement savings, according to Redfin.

The lender recorded a $59 million net loss in the fourth quarter, an 83% improvement from its third quarter performance.

Initial analyses of Home Mortgage Disclosure Act data show UWM ahead in 2023 loan numbers and dollar volume, but Rocket’s market share still looks competitive.

Last year, the Raleigh, N.C.-based Integrated called off a deal to sell itself to MVB Financial after bank stocks took a hit in the aftermath of the regional bank failures. Capital hopes to expand its government-guaranteed lending with the transaction.

The pending end of the program comes as over half of U.S. states have already ceased accepting new applicants for federal aid aimed to help struggling households with mortgage payments.

But the 30-year fixed rate mortgage is still near 7%, and that remains the overhang on the housing market, Freddie Mac said.

Some Month-End Volatility Late in The Day

Yields were near 2 week lows 2 hours before the final trades of the day, but rose several bps after that.  The initial gains were driven mainly be economic data (Chicago PMI and Consumer Inflation Expectations), but the month-end trading environment is always a wild card on month-end days.  If month-end buying was a factor, it would make sense to see some pull back when monthly closing levels were marked at 1pm ET.  That’s exactly what we saw.  Fortunately, it wasn’t a big deal for bonds or mortgage lenders. In fact, the entire week was distinctly lacking in volatility. Next week is a different animal thanks to big ticket econ data on 4 out of 5 days.

Econ Data / Events

Q4 Final GDP

3.4 vs 3.2 f’cast, 4.9 prev
PCE prices 2.0 vs 2.1 f’cast
Final sales 3.9 vs 3.5 f’cast

Jobless Claims

210k vs 215k f’cast, 212k prev

Continued Claims

1819k vs 1807k prev

Chicago PMI

41.4 vs 46.0 f’cast, 44.0 prev

Market Movement Recap

09:44 AM Two way trading after 8:30am data, and now a decent response to Chicago PMI.  10yr up 2bps at 4.208.  MBS down an eighth. 

12:38 PM Solid gains into the noon hour.  10yr nearly unchanged at 4.192.  MBS down 2 ticks (.06).

01:33 PM Well off the highs in after hours trading.  MBS down 6 ticks (.19).  10yr up 1.8bps at 4.206.

Unfortunately, we don’t have a great way to measure all of the past precedents, but it’s safe to say that the this was one of the least volatile weeks in the history of mortgage rates.  Our daily rate index never moved more than 0.01 and it remained in a 0.01 range. Today’s average rate was right in line with yesterday’s even though the bond market (the thing that normally dictates rates) suggested some movement.  Despite the suggestion, it’s not a huge surprise to see another flat day given the early close in financial markets and the full closure tomorrow.  Lenders often adopt less nimble pricing strategies on these holiday weeks–only making noticeable moves when the market really forces their hands. Next week continues to be a different story–at least in terms of what’s possible.  In other words, this week was never likely to offer much excitement.  Next week has infinitely more potential to do so depending on the outcome of the economic reports–especially Friday’s jobs report.