by Jacob Lilley | May 29, 2020 | Blog, Home Buying, Home Selling, Mortgage Rates
Coronavirus made for record-shattering movement in financial markets and economic data. With lockdowns ending, investors are eager to see improvements. Instead, they’re finding plenty of mixed signals. One of the most basic examples would be the relationship... by Jacob Lilley | May 22, 2020 | Blog, Mortgage Rates
There’s no shortage of bad news when it comes to the economy and the housing market. But that’s no surprise considering the circumstances. The sheer size and speed of the economic contraction makes it easy to worry about what the future will look like. ... by Jacob Lilley | May 15, 2020 | Blog, Mortgage Rates
Before coronavirus, the average 30yr fixed mortgage rate was almost always 1.6% to 2.0% higher than 10yr Treasury yields. When bond volatility was extreme (especially when Treasury yields were dropping quickly), that gap could be wider, but it was never even close to... by Jacob Lilley | May 8, 2020 | Blog, Montana Mortgage Loans, Mortgage Rates
Every professional in the housing/mortgage market understands the crushing economic changes for many households as a result of coronavirus. It makes all the sense in the world for those households to pursue the forbearance option (skipping mortgage payments for... by Jacob Lilley | May 1, 2020 | Blog, Mortgage Rates
Investors buy and sell groups of mortgages that are pooled together in mortgage-backed bonds. The price an investor is willing to pay for a mortgage bond is the primary factor in determining mortgage rates. As demand for these bonds increases, rates fall (all other... by Jacob Lilley | Apr 24, 2020 | Blog, Mortgage Rates
One of the most critical features of the modern mortgage market is the fact that mortgage investors can count on getting repaid even if the homeowner isn’t making payments. The mortgage servicer is the first line of defense, but it’s the agencies (Fannie,... by Jacob Lilley | Apr 17, 2020 | Blog, Mortgage Rates
While some aspects of the housing/mortgage market have stabilized over the past few weeks, we’re still waiting for some important guidance about the path ahead. The last few newsletters are worth revisiting, but here’s a recap: Lockdowns = unprecedented... by Jacob Lilley | Apr 10, 2020 | Blog, Mortgage Rates
The last few newsletters paint an incredibly interesting and volatile picture for the mortgage market. Just as the industry was coming to terms with unprecedented market volatility due to coronavirus, the details of the CARES Act (the coronavirus... by Jacob Lilley | Apr 3, 2020 | Blog, Mortgage Rates
Things are changing rapidly in the mortgage market. Almost overnight, loan programs have disappeared, interest rates are all over the place, and more than a few lenders are closed for business indefinitely. All this despite the Federal Reserve buying more than $100... by Jacob Lilley | Mar 27, 2020 | Blog, Mortgage Rates
There’s been no shortage of crazy weeks in the mortgage market lately, and this one was not to be outdone. By the end, the prices of the bonds that normally determine mortgage rates surged well into record highs. That would normally suggest the lowest mortgage...
