Fannie Mae and Freddie Mac closed their trading windows at noon on Monday as Hurricane Sandy approached the New York area.
Dave Stevens, president of the Mortgage Bankers Association, told National Mortgage News that he expects the window may be closed on Tuesday as well. “There will be no MBS trades,” he said.
Stevens anticipates that the storm will slow mortgage applications noticeably as “consumers hunker down in their homes.”
The MBA chief added: “We’re going to see a slow down in activity for a few days.”
Paul Hindman, a mortgage recruiter, added that “As many brace for the brunt of the storm, this hits our industry during the peak funding spike when nearing month end. Although many in our industry have disaster plans, which include remote access, it does not include power outages.”
