Mortgage rates

Since the first day of the meeting, the 10-year Treasury yield has increased 16 basis points, with mortgage rates rising as a result, various trackers showed.

Contract closings fell 0.2% last month to an annualized rate of 4 million, according to National Association of Realtors figures released Thursday.

Refinancing indicators recorded muted gains as home sales challenges persisted ahead of a period when politics may change the market outlook.

There were 35.2% more sellers than buyers in the market last month. June and July were the only routine months since at least 2013 with a greater percentage.

MSR investment persists and some values have stabilized since policymakers' rate cut confirmed anticipatory loan pricing, flattening some mortgage rates.

The 30-year fixed rate mortgage was down another 9 basis points this week, Freddie Mac said, but much of this pricing was before the Federal Reserve meeting.

The company will now consider loans up to $819,000 as government-sponsored enterprise-eligible, even though it cannot sell them to the agencies until Jan. 1.

Most lenders said they had already priced in the widely-anticipated decision to cut short-term rates for 30-year home loans but other products will benefit.

Mortgage applications saw a significant jump for the second consecutive week, as homeowners took advantage of plummeting rates, the MBA said.

If the Fed reinvested the roughly $18 billion in monthly "roll-off" into new MBS, it could compress mortgage spreads, the investment management firm said.

New-home loan activity rose 1% in August year over year, but applications fell 6% from July.

Companies are coming up with offerings to meet certain unmet needs in the market, while others are running promotions in order to get some sectors moving again.

The 30-year fixed rate mortgage had its largest decline in a year as it is universally anticipated the Federal Open Market Committee will cut short-term rates.

Treasuries rose, led by short-dated notes, after a reading on wholesale inflation came in weaker than expected, cementing bets that the Federal Reserve will start to cut interest rates next week. 

The contract rate on a 30-year mortgage fell 15 basis points to 6.49% in the week ended Sept. 5, according to Mortgage Bankers Association data released Wednesday.

More borrowers who locked their loans with higher financing costs could refinance and buyers may come in at the margin, former Fannie Mae economist said.

The 30-year conforming fixed rate mortgage ended this week at its lowest since last Oct. 17, helped by bond traders pricing in a reduction in short-term rates.

The US 30-year yield climbed as much as four basis points to 4.999% on Wednesday before stabilizing.

The 30-year fixed rate mortgage fell 2 basis points this week, Freddie Mac said, but other sources like Zillow and Lender Price reported larger drops.

The increase in purchase volume was not enough to offset the drop in refinance application submissions as conventional rates increased week-over-week.