The newest version of the House housing bill would make a ban on institutional investors owning some homes less harsh than the Senate version by removing a seven year mandate on selling build-to-rent homes.

Eligible buyers and sellers can save up to $20,000 on their next home when they transact with a Redfin agent and finance with Rocket Mortgage.

Economic uncertainty and higher rates in April contributed to the first decline in applications for new homes on an annual basis since October.

The delay preserves a lifeline for competing bidder United Wholesale Mortgage, which previously reached an agreement to acquire the servicer last year.

Inflation and a possible Fed move impacting rates are concerns that product innovation and housing policy can help with, leaders said at an industry meeting.

It was another rough day for the bond market and, thus, for interest rates. Investors aggressively sold bonds in the first 2 hours of trading, taking 10yr Treasury yields to the highest level in more than a year. Mortgage-specific bonds have been doing better versus Treasuries in recent months thanks to increased purchase demand from Fannie Mae and Freddie Mac. All else equal, higher demand for mortgage bonds = lower rates, relatively. In the current case, it means mortgage rates haven’t moved up as much as Treasury yields over the past 6 months. That said, rates have still definitely moved higher. Today’s top tier 30yr fixed rate is up to 6.75% for the average lender–the highest since July 2025, and a whopping 0.75% higher since before the Iran war began. This makes it the fastest rate spike seen since late 2024. [thirtyyearmortgagerates]

Whales Making Waves in Treasury Futures

Nerd alert: there’s no way to discuss what happened in the bond market today without getting a bit nerdy. Reason being, there was an absolute deluge of block trades in Treasury futures (over $20bln–the biggest day we can remember for outright block trades). There are a few different possibilities for how this went down, but the size, structure, and timing of those trades suggests that only one or two massive players were involved. The saving grace of a move like this is that it means there was not broad-based selling pressure from a majority of the market. And although this could be viewed as “thought leadership” that inspires other sellers, those sellers had a chance to jump on the bandwagon today and instead held their ground. 

Econ Data / Events

ADP Employment Change Weekly

42.25K vs — f’cast, 33.0K prev

Market Movement Recap

09:04 AM Gradually weaker overnight with no standout market movers. MBS down almost 3/8ths and 10yr up 4bs at 4.63

11:24 AM MBS down 5/8ths and 10yr up 8.6bps at 4.675

02:46 PM Recovering a bit. MBS down just over half a point and 10yr up 7.2bps at 4.662

Ever since the initial 2 week ceasefire was announced in the Iran war, the bond market has adhered to trend channels that align with either de-escalation or re-escalation sentiment. Nothing too complicated here: if sentiment is trending in favor of peace, bonds have rallied. If sentiment is deteriorating, bonds have sold off. There was a temporary diversion as traders waited to see if last week’s China summit would be a catalyst for a shift. When the summit failed to deliver, yields jumped back in line with the re-escalation trend. Now this morning, they’re already challenging the bearish boundary of that trend WITHOUT any new justification from an oil price spike, stock market rout, or any new news on the war. In other words, bonds are telling politicians to get serious about ending the war or face increasingly dire consequences.

One of the discussion topics here in New York at the MBA conference is, just like every other conference, artificial intelligence, and one of the questions is, “Who’s accountable if something goes wrong?” Any one of us in capital markets will tell you that, in the case of Freddie, Fannie, investors, and so on, lenders are held ultimately accountable for anything that goes wrong. In the event of a buyback, or default, a lender can’t point at an AI vendor and say, “You cover the losses.” Make sure that with any software that you buy you know where it came from and how it was designed, and ask lots of “what if” questions. Sprinkling some AI fairy dust over some legacy technology that is years old can cause serious issues. (Today’s podcast can be found here and this week’s ‘casts are sponsored by TransUnion. Discover how data-driven mortgage intelligence is helping lenders identify in-market borrowers, strengthen portfolio performance, personalize outreach, retain customers, and drive smarter growth in an increasingly competitive housing market. Today’s has an interview with Acrisure’s Kristen Britton on how lenders are balancing speed, automation, fraud prevention, and human oversight as remote closings reshape mortgage risk, identity verification, and the future framework of trust in digital transactions.) Lender and Broker Products, Software, and Services The ICE 2026 Borrower Insights Survey shows a 10 percent year-over-year drop in borrowers who say they are definitely satisfied with communication with their mortgage servicer. Pair that with the survey finding that 96 percent of borrowers say personalized communications remain important to them. These findings suggest servicers need tools that go beyond basic payment processing and to deliver relevant, timely outreach that satisfies borrowers and supports retention. ICE Servicing Digital offers the communication tools to help turn transactional relationships into lasting ones, including surfacing personalized refinance scenarios, current rates and tappable equity alerts directly to borrowers. Read the blog for more insights into borrower communication preferences and how to strengthen borrower relationships.

Department of Housing and Urban Development officials indicated that there are improvements in some delinquency stages and cure rates are better than expected.