The MReport Webcast: Tuesday 11/10/2015

Fannie Mae and Freddie Mac recently announced that the standard mortgage modification interest rate will be under 4 percent for the first time ever since the benchmark was established in January 2012. According to similar releases from the GSEs, starting on November 13, 2015, Fannie Mae will lower its standard modification interest rate from 4 percent to 3 point 875 percent.

Meanwhile, Freddie Mac will lower its standard modification interest rate by the same amount beginning on November 5, 2015. Last month, the GSEs lowered the standard modification interest rate to 4 percent from 4 point 25 percent, where the rate had been from July 2015 to September 2015.

Consumer confidence in the housing market declined slightly in October, while wages and salaries struggled and kept many from purchasing a home. Fannie Mae's Home Purchase Sentiment Index fell 0 point 6 percentage points to 83 point 2 for the month of October from 83 point 8 in September as consumers’ volatile outlook on both household income improvement and mortgage interest rates kept housing sentiment relatively flat.