June could be the true test for delinquencies and how many distressed borrowers impacted by a shift in Federal Housing Administration rules will reperform.

Housing advocates and compliance firms are suing to block a rule from the Consumer Financial Protection Bureau that they say guts the Equal Credit Opportunity Act.

Property taxes are up 30% since 2019, driven by pandemic-era home value gains. Mortgage borrowers pay more than those without a loan, and experts say relief is unlikely anytime soon.

All-cash home purchases hit a six-year March low of 28.9%, as a buyer-friendly market reduced the need to use cash to stand out, with sellers outnumbering buyers by a record-near margin, Redfin found.

The Federal Reserve Board governor is the latest Fed official to embrace the prospect of tighter monetary policy in response to rapidly rising prices that have taken hold in recent years.

How ‘bout this one: A firefighter went to the college graduation ceremony for a baby he helped deliver many years ago. Loan originators can be involved in many life events of their clients as well, as the months and years roll on, something that a software program can’t do. They’re also in a great position to explain the nuances of the summer home buying season to clients. They know that rates aren’t the only thing making homes unaffordable. The median home price rose from $274,900 in Q4 2019 to $414,900 in Q4 2025, according to the National Association of Realtors. That has affected affordability much more than the rise in mortgage rates (the average 30-year fixed rate increased from 3.90 percent at the end of 2019 to 6-something percent today, let’s say about 6.16 percent because I saw that number somewhere). If we apply those rates on top of the median home prices in question and assume a 20 percent down payment, we get monthly principal and interest payments of $1,037 at 3.90 percent and $1,341 at 6.16 percent if the home costs $274,900. With a median home price of $414,900, those monthly payments go to $1,566 at 3.90 percent and $2,024 at 6.16 percent. Higher prices are impacting affordability significantly more than higher rates. (Today’s podcast can be found here and this week’s ‘casts are sponsored by NFTYDoor, the white-label HELOC platform for banks, credit unions, and brokers. Close in zero days with warehouse funding. Power your home equity lending with NFTYDoor. Today’s features an interview with NEO Home Loans Ryan Grant on the evolution of interactions between mortgage professionals and borrowers, and how companies can best provide support to origination staff.)

Early in the trading session, the bond market began improving in response to more updates on a potential Iran peace deal. When bonds improve, rates fall, but the initial reaction proved short-lived.  Thankfully, the reversal didn’t do any new damage. This allowed the average lender to keep rates right in line with yesterday’s 6.61% for a top-tier 30 year fixed. You’d have to go back to May 14th to see anything lower.

In a Shocking Twist, Bonds Relive Another Groundhog Day

The present week began on a stronger note thanks to news that came out on Monday regarding a U.S./Iran peace deal being within reach. This time around, it was the fact that Iran’s state TV shared a draft of the framework for the memo that serves as the stop-gap peace deal while full details are negotiated. It turns out that this draft wasn’t obviously different from the one referenced on Monday, but markets remain cautiously willing to react to the same repackaged news time and again as if repetition increases the chance that the peace deal will eventually become official. Bonds were a bit more skeptical than oil prices, but ultimately ended the day without losing any ground.

Market Movement Recap

08:27 AM modest overnight gains and some extra buying just now after yet another round of peace deal headlines. MBS up 3 ticks (.09) and 10yr down 3bps at 4.459

10:49 AM sideways volatility. MBS up 3 ticks (.09) and 10yr down 1.5bps at 4.472

It seems that we’ve seen slight variations on the same peace deal news for the past several days. That’s probably because there is an actual peace deal that’s probably near the actual finish line and that’s probably why the market is actually willing to trade it. This morning’s headlines were as simple as any recent example: Iran’s state TV obtained a draft of the peace framework with the key inclusion being a commitment to restoring commercial traffic through Hormuz within one month. Bond yields dropped about 2bps on the news and MBS rallied about an eighth of a point–fairly tame, but clearly connected.

Home prices rose 0.7% annually in March, down from a 0.8% increase in the previous month, according to the S&P Cotality Case-Shiller home price index.