Origination

Even if lower rates boost inventory and shift sales from new to existing homes, these companies are well-positioned to deal with the change, analysts said.

The effects of expected lower mortgage interest rates are boosting a lot of different facets of the housing market.

With a tough winter predicted for lenders, servicers may struggle making timely principal and interest payments to investors, industry stakeholders warn.

Indicators are starting to align, that with falling interest rates and prices, buyers and sellers will return to the housing market in 2024, a trio of interested parties commented.

Activity fell despite an ongoing slide in rates, but elevated interest in VA loans, particularly refinances, managed to lift the government-sponsored index higher by a fraction, the Mortgage Bankers Association said.

Contract closings increased 0.8% from a month earlier to a 3.82 million annualized rate, according to the National Association of Realtors, and ahead of estimates of 3.78 million units.

Industry leaders share their thoughts on some of the forecasts that fizzled.

The outstanding amount that people ages 62 and up hold represented a nearly $15.4 billion gain in property value offset by a record $2.32 billion in borrowing.

Loans for new homes are up 22% while overall purchase volume is down 20%, the Mortgage Bankers Association found.

Construction of single-family houses jumped 18% to the highest level since April 2022, while starts of multifamily projects increased 6.9%.