Refinance

Even as interest rates remained at record-low levels, mortgage application activity for both purchases and refinancings declined compared to one week earlier, according to the Mortgage Bankers Association.

The delinquency rate at the end of May was the highest in over eight years, but that includes borrowers in forbearance plans.

Purchase mortgage application volume was at its most in over a decade as consumer confidence continued to improve in the aftermath of the coronavirus shutdown, according to the Mortgage Bankers Association.

The report by Unison also advised investors to focus on "diversified residential real estate" over traditional retail and office spaces.

Credit unions have seen historic mortgage growth so far this year despite the pandemic, but there are concerns some institutions may be overly relying on refinancing and not focusing enough on generating new purchase business.

Unemployment is high. Credit is tight. And scientists are warning that a dangerous second wave of the coronavirus is coming. But somehow, U.S. mortgage companies are having one of their best years in history.

The expected rise in refinance volume overrides pessimism about purchase activity for their businesses.

Mortgage applications increased 9.3% from one week earlier, fueled by low mortgage rates and the release of pent-up demand, according to the Mortgage Bankers Association.

With the impacts of the coronavirus in full bore, housing market experts predict home prices to fall in 2020.

Millennial refinance activity hit a new high-water mark behind historically low mortgage rates, up 40 percentage points from the year before, according to Ellie Mae.