Mortgage Market Insider
Purchase applications set to grow in 2022, knock on wood
Markets responded with a taper tantrum after more hints of rate hikes in 2022. As a result, mortgage rates increased across all loan types: the 30-year fixed rate mortgage increased 11 basis points to 3.70% while the 15-year mortgage increased 10 basis points to 2.95%.
current outlook:
With many calling for the Fed to hike rates not once, not twice, but up to seven times this year in order to control inflation, markets got a bit volatile last week. Builder sentiment also went down after a four-month positive run. It fell to 83 in January in response to increasing materials costs, which grew 19% over the last month. What could help the situation is a new trade agreement between the U.S. and Canada, one with fewer tariffs on softwood lumber imports. Should these inventory issues be addressed, experts predict a strong purchase market in 2022. In spite of rising rates, the first week of 2022 saw an uptick in purchase applications while refinance applications held steady. FHA and VA purchase applications in particular saw a 9% and 5% uptick respectively.
recent MMI news
Rates see double-digit increases
Last week, rates saw a sharp increase after the Fed revealed that it would begin offloading its mortgage-backed securities earlier than expected. The 30-year fixed
Rates rise in 2022
In the first full week of 2022, both the 30-year and 15-year fixed rate mortgages increased 11 basis points to 3.35% and 2.70% respectively. current
Rates still near 6-week lows
After falling to the lowest levels since November 11, rates picked up a little this week. The 30-year fixed rate mortgage increased 2 basis points
FOMC accelerates their plans
Rates moved up slightly with the 30-year fixed rate mortgage increasing 6 basis points to 3.22% and the 15-year fixed rate mortgage increasing 3 basis
Rates change their tune about omicron
The tides have turned once again with the 30-year fixed rate mortgage increasing 11 basis points to 3.25% and the 15-year fixed rate mortgage increasing
Omicron pushes rates lower
The 30-year fixed rate mortgage dropped 14 basis points to 3.14% while the 15-year mortgage dropped 13 basis points to 2.52%. current outlook: What we’re
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