Tag Archives: Freddie Mac

A new blog post from the Urban Institute asserts recent numbers on loan denial rates for minorities weren't too high; rather, they may have been too low. Using HMDA data, the group examined the credit profiles of applicants, noting that the denial rate really only matters for weaker credit profile applicants—they are more likely to get denied.

In its latest survey results, Freddie Mac recorded the average 30-year fixed rate at 4.14 percent (0.5 point) for the week ending June 5, up from last week's average 4.12 percent. A year ago, the 30-year fixed-rate mortgage (FRM) was 3.91 percent and rising. The 15-year FRM also moved up this week, hitting an average of 3.23 percent (0.5 point).

In its weekly released Primary Mortgage Market Survey, Freddie Mac found the average rate for a 30-year fixed-rate mortgage (FRM) was 4.12 percent (0.6 point) for the week ending May 29, down from 4.14 percent last week and the lowest 30-year fixed average since October 2013.

Freddie Mac's Multi-Indicator Market Index (MiMi), a gauge of housing stability, slid up just 0.03 points in its latest reading to -3.06, indicating the market is still on the weak side of the spectrum. Compared to last year, the MiMi has improved by 0.66 points. However, trends are less favorable now than they were at that time, said Frank Nothaft, chief economist at Freddie Mac.

After sinking steadily for the last 10 months, new business activity has picked up a bit for Freddie Mac—though that didn't stop its portfolio from shrinking again. The mortgage giant released Wednesday its volume summary for April, recording a negative annualized growth rate of 3.0 percent for its total mortgage portfolio. It was the highest rate of contraction since October, when the portfolio shrank at a rate of 6.4 percent.

Refinance volumes dropped in the first quarter to a post-recession low, according to stats released by the Federal Housing Finance Agency (FHFA). Meanwhile, the share of refinances done through the Home Affordable Refinance Program (HARP) continued to pull back, slipping to about 21 percent of total activity.

Nearly 12 percent of home purchase loans in today’s market run the risk of default in the event of an economic downturn, according to a new report from the American Enterprise Institute’s (AEI) International Center on Housing Risk. According to AEI, last month’s rising index was caused largely by the Federal Housing Administration (FHA) and Rural Housing Services (RHS) increasing their market share, which was up to an estimated 32.2 percent in April.

In its weekly Primary Mortgage Market Survey, Freddie Mac recorded the average rate for the 30-year fixed-rate mortgage (FRM) at 4.14 percent (0.6 point), down from 4.20 percent last week. Last May, the 30-year fixed was at 3.59 percent and climbing amid speculation the Federal Reserve would soon start tapering its monthly asset purchases.

As housing metrics continue to take unexpected turns, it’s become clear by now that the current recovery has functioned unlike any other. In the company's latest Economic & Housing Market Outlook, economists Frank Nothaft and Leonard Kiefer at Freddie Mac took a look at three fundamental areas—mortgage rates, home sales, and household formations—to figure out why.

According to Freddie Mac’s Primary Mortgage Market Survey, the 30-year average fixed-rate mortgage (FRM) eased to 4.20 percent (0.6 point) for the week ending May 15, a drop from the last survey. "These lower than expected rates are welcome news with the spring home buying season underway and may even provide those who haven't already refinanced possibly a reason to take another look," said Frank Nothaft, chief economist at Freddie Mac.